18 February 2013

OPEL completes CDN$7.2m private placement to fund commercialization of POET technology

OPEL Technologies Inc of Toronto, Ontario, Canada has completed a CDN$7.2m private placement (14,400,000 units at a price of CDN$0.50 each), which was oversubscribed from the original 11,000,000-unit CDN$5.5m private placement (announced on 5 February).

Each unit consists of one common share and one common share purchase warrant (allowing the holder to acquire one common share at an exercise price of CDN$0.75 per share until 14 February 2015). The private placement was conditionally accepted by the TSX Venture Exchange. The securities issued will be subject to a hold period that expires on 15 June.

The firm paid cash commissions of 7% of the funds raised and issued broker warrants equal to 10% of the units raised (each allowing the holder to acquire one common share of OPEL at a price of CDN$0.50 until 14 February 2016).

OPEL says that the new funding will provide it with the capital required to complete a CDN$1.3m equipment acquisition, fund internal and third-party development efforts at US affiliate OPEL Defense Integrated Systems (ODIS Inc) of Storrs, CT, as well as funding general administrative expenses and working capital. With the capital in place, OPEL is in a position to continue development work towards its previously announced milestones and its strategy for monetization ODIS’ POET technology.

The POET process enables monolithic fabrication of gallium arsenide (GaAs) integrated circuits containing both electronic and optical elements on a single wafer, with potential high-speed and power-efficient applications in devices such as servers, tablet computers and smartphones. III-V semiconductor devices developed by ODIS include infrared sensor arrays and ultra-low-power random access memory.

OPEL’s board recognizes its member, executive director Peter Copetti, who collaborated with the firm’s agent IBK Capital Corp to complete the fundraising in a rapid time frame. The firm says that Copetti’s efforts since joining the board have been instrumental in its return to solid financial health.

Tags: OPEL ODIS POET

Visit: www.opeltechinc.com

Visit: www.odisinc.com