May 21, 1999 - ZTEST Arranges Two Private Placements
TORONTO, ONTARIO--ZTEST Electronics Inc.,ZTST-CDN,("ZTEST") wishes to announce that it has arranged two private placements totalling $360,000 with arm's-length parties. Each private placee will subscribe for Series A Preferred Shares(the "Shares") of the Corporation on the basis of one (1) Share for each $0.96 of funds advanced. The Shares are non-voting, pay monthly dividends at the rate of 8 percent per annum and are convertible by the holder at the rate of one (1) common share for each Share converted for the first eighteen months, and one (1) common share for each 1.25 Shares converted for the next eighteen months and one(1) common share for each 1.40625 Shares converted for the final two years. The Shares are redeemable after five (5) years at the rate of $0.96 per share.
These private placements relate to funds previously advanced to the company which were applied to working capital.
In addition to its proprietary line of Automatic Test Equipment, ZTEST offers Strategic Partner services in electronic design, development and manufacturing to emerging high tech companies in return for long-term manufacturing contracts, fees for services and equity positions.