MicroPlanet Closes Private Placement, Shares for Debt

Jul. 12, 2011 (Canada NewsWire Group) --

Stock Listing: MP:TSXV
Stock Listing (US): MCTYF: OTC

SEATTLE, WA, July 12, 2011 /CNW/ - MicroPlanet Technology Corp. ("MicroPlanet" or the "Company"), (TSXV:MP) (PINK:MCTYF) a provider of smart grid technology, which significantly increases efficiency, quality, and conservation, of electricity, today is pleased to announce that it has closed a non-brokered private placement of 9,637,450 units (the "Units") at a price of C$0.10 per Unit (the "Offering").  Each Unit consists of one common share of MicroPlanet (the "Common Shares") and one Common Share purchase warrant (the "Warrants").  Each Warrant entitles the holder to acquire one Common Share at any time prior to 4:00 p.m. (Seattle time) on the date that is two years from the closing date of the Offering upon payment of the exercise price of C$0.15 per Common Share.

The Offering raised gross proceeds of C$963,745, and up to a further C$1,445,617.50 assuming full exercise of the Warrants. MicroPlanet intends to use these proceeds for the retirement of maturing convertible securities and for general working capital purposes. Certain members of the Company's management and its Board of Directors participated in the Offering by acquiring, in the aggregate, 5,687,450 Units.

Shares for Debt

In conjunction with the Offering, the Company also announces that it has received approval from the TSX Venture Exchange ("TSXV") for the previously announced Shares for Debt transaction to satisfy payments owed to certain holders of maturing secured convertible notes of the Company (the "Notes").

In 2009, the Company issued C$4,000,000 aggregate principle amount of Notes in three tranches. The first two tranches of Notes matured on June 30, 2011. Of the total principal amount of C$2,737,000 having matured, holders of C$1,462,000 aggregate principle amount of notes have elected to convert such notes to Units at a price of C$0.10 per Unit, resulting in the issuance of 14,620,000 Common Shares and 14,620,000 Warrants on the same terms as the Offering described above. The Common Shares issuable will be subject to a four-month hold period in accordance with applicable securities laws and TSXV requirements.

About MicroPlanet Technology Corp.

MicroPlanet solutions improve power quality and save energy by dynamically managing incoming voltage to a home or business through the use of patented, advanced power electronics. MicroPlanet's technology has been deployed in seven countries by more than 20 utilities, the U.S military and multiple commercial customers to save energy, improve power quality and grid efficiency and to facilitate the integration of renewable energy sources, including solar and wind. MicroPlanet is based in Seattle, WA and is listed on the TSXV trading under the stock symbol: MP. www.microplanet.com.

THIS NEWS RELEASE MAY CONTAIN FORWARD-LOOKING INFORMATION. ACTUAL FUTURE RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTEMPLATED. THE RISKS, UNCERTAINTIES AND OTHER FACTORS, BOTH KNOWN AND UNKNOWN, THAT COULD INFLUENCE ACTUAL RESULTS MAY BE SUBSTANTIAL AND INCLUDE THOSE DESCRIBED IN DOCUMENTS FILED WITH REGULATORY AUTHORITIES, SUCH AS THE COMPANY'S MOST RECENTLY FILED ANNUAL AND QUARTERLY REPORTS.  ACCORDINGLY, NO ASSURANCES CAN BE GIVEN THAT ANY OF THE EVENTS ANTICIPATED BY THE FORWARD-LOOKING STATEMENTS WILL TRANSPIRE OR OCCUR, OR IF ANY OF THEM DO SO, WHAT BENEFITS THE COMPANY WILL DERIVE THEREFROM.

NEITHER THE TSXV NOR ITS REGULATION SERVICES PROVIDER (AS THE TERM IS DEFINED IN THE POLICIES OF THE TSXV ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.