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Westport Signs Investment Agreement with Cartesian Capital Group for up to $71.3 Million in Financing
Westport Signs Investment Agreement with Cartesian Capital Group for up to $71.3 Million i...
About this update from Westport Fuel Systems, Inc.
[{"type":"text","content":"\n\n\n\nWestport Signs Investment Agreement with Cartesian Capital Group for up to $71.3 Million in Financing\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\nWestport Signs Investment Agreement with Cartesian Capital Group for up to $71.3 Million in Financing\nCanada NewsWire\nVANCOUVER, Jan. 11, 2016\n\n\n\n~Global private equity firm, with a strong presence in Asia and Europe, invests in Westport and the future of natural gas engines; Westport appoints new Director to the Board~\n\n\n\nVANCOUVER, Jan. 11, 2016 /CNW/ - Westport Innovations Inc. (TSX:WPT / Nasdaq:WPRT), engineering the world's most advanced natural gas engines and vehicles, announced today that it has entered into an agreement with Cartesian Capital Group, of New York, for up to $71.3 million in financing to support global growth initiatives. The financing agreement immediately provides $17.5 million in non-dilutive capital with up to $53.8 million in additional capital contingent on reaching key milestones and establishing new investment opportunities. This financing package includes a contingent payment (derived substantially from future High Pressure Direct Injection (HPDI) product sales), a convertible debenture, non-core asset sales, and incremental funding capacity to support future product development. As part of the financing agreement, Peter Yu, Managing Partner and Founder of Cartesian, will be appointed to Westport's Board of Directors.\n\nThe investment by Cartesian includes four different tranches:\n\n\n$17.5 million immediately, in consideration for an innovative technology income streaming facility: Contingent payments to Cartesian are based on a percentage of amounts received by Westport on select HPDI and joint venture products in excess of agreed thresholds through 2025.  \n$17.5 million in convertible debenture notes: The convertible debenture notes, expected to close upon completion of the Fuel Systems Solutions (FSYS) merger scheduled for mid-February, feature a 9% coupon, a 4.5 year term, and are convertible into newly issued shares of Westport ...