April 2, 2009 - ZTEST ANNOUNCES EQUIPMENT FINANCING
NORTH YORK, April 2, 2009 - ZTEST Electronics Inc. ("ZTEST" or the "Corporation") (TSXVE - "ZTE") wishes to announce that it has signed a Term Sheet to obtain a $997,500 loan from two arm's length lenders. The proceeds from the loan will be used for the acquisition of production equipment (the "Equipment") to be installed at Permatech Electronics Corp. ("Permatech"). ZTEST will issue two (2) debentures secured against the Equipment repayable on standard commercial terms. As part of the transaction, ZTEST has agreed to grant to one of the lenders an option to acquire 24% of Permatech from ZTEST for $200,000. ZTEST will issue 2,800,000 bonus common shares to one of the lenders as consideration for the loan, subject to regulatory approval. This transaction is scheduled to close on May 1, 2009.
The acquisition of the Equipment, comprised of surface mount assembly machinery including Siemens F5 and S27 SMT placement systems, will significantly increase Permatech's production capacity. "With this addition to our production capabilities, we will be able to enter market segments and to service customers previously not accessible to us" commented Mr. John Perreault, President of Permatech.
About ZTEST Electronics Inc.
ZTEST Electronics Inc., through its wholly-owned subsidiary Permatech, offers Electronic Manufacturing Services (EMS) to a wide range of customers. Permatech's offering includes Materials Management, Printed Circuit Board (PCB) Assembly, Testing and Design services. Permatech operates from a 20,000 square foot, ISO 9001:2000 certified facility in North York, Ontario, Canada. The company serves customers in the Medical, Power, Computer, Telecommunication, Wireless, Industrial and Consumer Electronics markets requiring high quality, quick-turn, small and medium size production runs.
For more information contact:
Ted Drzazga, CEO
(416) 297-5155
email: info@ztest.com
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements: This press release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as changes in demand for and prices for the products of the Company or the materials required to produce those products, labour relations problems, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. The reader is cautioned not to put undue reliance on such forward-looking statements.