UGE Announces Second Offering of Project Green Bonds

Toronto, Ontario--(Newsfile Corp. - March 6, 2019) -  UGE International Ltd. (TSXV: UGE) (the "Company" or "UGE"), a leader in renewable energy solutions for the commercial and industrial sector, is pleased to announce that it has entered into an engagement letter (the "Engagement Letter") with Leede Jones Gable Inc. ("LJG" or the "Agent") pursuant to which LJG will act as agent to sell, by way of offering memorandum on a commercially reasonable best efforts basis, up to 5,000 bonds (the "Project Bonds"), secured by projects to be owned by UGE indirectly through a subsidiary, at a purchase price of $1,000 per Project Bond for aggregate gross proceeds of up to $5,000,000, with each such Project Bond accruing interest at a rate of 7% per annum and maturing on the date that is 60 months from the date of issuance (the " Offering").

Net proceeds from the Offering will be used to finance eligible solar projects owned by UGE indirectly through a wholly-owned subsidiary of the Company, within UGE's three target markets of Canada, the USA, and the Philippines (the "Projects"). The Project Bonds will be secured against the Projects.

"UGE's unique approach to financing projects through these green bonds is opening up new opportunities for our clients to benefit from solar energy," said Nick Blitterswyk, CEO of UGE. "We look forward to accelerating our project financing efforts throughout 2019."

The Offering shall be completed through multiple closings. The initial closing date of the Offering is anticipated to occur no more than three months from the date of the Engagement Letter (the "Closing Date"), and subsequent closings will occur approximately every three months thereafter, or at such other date mutually agreed upon by the Company and LJG.

LJG will receive a cash commission equal to 7% of the gross proceeds of the Offering, as well as warrants (the "Agent's Warrants") equal to 7% of the total underlying value of the Bonds sold in the Offering divided by the last closing price of UGE's common shares on the TSX Venture Exchange prior to announcement of the Offering (the "Market Price"), with each such Agent's Warrant being exercisable for one common share (each a "Agent's Warrant Share") of the Company at the Market Price for a period of 24 months from the date of issuance.

This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.

About UGE

UGE delivers immediate savings to businesses through the low cost of solar energy. We help commercial and industrial clients become more competitive by providing low cost distributed renewable energy solutions at no upfront cost and long-term economic benefit. With over 375 MW of global experience, we work daily to power a more sustainable world. Visit us at www.ugei.com.

For more information, contact UGE at:
Nick Blitterswyk, Chief Executive officer
+1 917 720 5685
investors@ugei.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Statements made in this press release include forward-looking statements that involve a number of risks and uncertainties. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements, such as the economy, generally, competition in its target markets, the demand for UGE's products and the availability of funding. These forward-looking statements are made as of the date hereof and UGE does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from UGE's expectations and projections.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/43265

info