U.S. Geothermal Closes C$15 Million Underwritten Private Placement Financing
April 28 2008 - 1:00PM
PR Newswire (US)
BOISE, Idaho, April 28 /PRNewswire-FirstCall/ -- U.S. Geothermal
Inc. (Amex: HTM; TSX: GTH) (the "Company") announced today that it
has completed the previously announced underwritten private
placement of 4,260,000 units of the Company (each, a "Unit"), each
Unit comprising one common share of the Company (each, "Common
Share") and one half of one Common Share purchase warrant (each
whole Common Share purchase warrant, a "Warrant"), at a price of
CDN $2.35 per Unit. Each Warrant will entitle the holder thereof to
acquire one additional Common Share of the Company prior to April
29, 2010 for US$3.00 per Common Share. In addition, the
Underwriters exercised their option to purchase an additional
2,122,500 Units at the issue price of the offering, resulting in
the issuance of a total of 6,382,500 Units for aggregate gross
proceeds of CDN $14,998,875. The Underwriters have been paid a cash
fee of CDN $899,932.50, representing 6% of the aggregate gross
proceeds from the offering, and have been issued broker warrants to
purchase up to 191,475 Common Shares of the Company at US$2.34
prior to April 29, 2010. The Company has agreed to file a resale
registration statement with the Securities and Exchange Commission
as soon as practicable and to use commercially reasonable efforts
to cause it to become effective no later than five months following
closing and to remain effective for two years. In the event the
registration statement is not effective within 5 months following
closing, the purchasers are entitled to receive an additional 0.10
of a Common Share for each Unit purchased. The securities are
subject to a four-month hold period under applicable Canadian
securities laws and TSX requirements. The proceeds of the offering
are intended to be used for the completion of the acquisition of
the previously announced Empire geothermal assets, for ongoing
development and exploration activities at the Company's Raft River
and Neal Hot Springs projects, and for general working capital
purposes. About U.S. Geothermal Inc. U.S. Geothermal is a renewable
energy development company that is currently operating a geothermal
power project at Raft River, Idaho and conducting exploration
activities at Neal Hot Springs, Oregon. Please visit our Website
at: http://www.usgeothermal.com/ FOR ADDITIONAL INFORMATION PLEASE
CONTACT: Saf Dhillon - Investor Relations U.S. Geothermal Inc. Tel:
866-687-7059 (Toll Free) or 604-484-3031 Fax: 604-688-9895 The
information provided in this news release contains forward-looking
statements within the definition of the Safe Harbor provisions of
the US Private Securities Litigation Reform Act of 1995 and under
applicable Canadian legislation, including statements regarding the
anticipated use of proceeds and closing of the Empire geothermal
project acquisition. These statements are based on U.S. Geothermal
Inc.'s current expectations and beliefs and are subject to a number
of risks and uncertainties that can cause actual results to differ
materially from those described in forward looking statements.
Forward-looking statements are based on management's expectations,
beliefs and opinions on the date the statements are made. U.S.
Geothermal Inc. assumes no obligation to update forward-looking
statements if management's expectations, beliefs, or opinions, or
other factors, should change. The TSX and American Stock Exchanges
do not accept responsibility for the adequacy of this release.
DATASOURCE: U.S. Geothermal Inc. CONTACT: Investor Relations, Saf
Dhillon of U.S. Geothermal Inc., 1-866-687-7059, or
+1-604-484-3031, Fax, +1-604-688-9895, ; or Melinda Keckler of
Scott Peyron & Associates, Inc., +1-208-388-3800, Fax,
+1-208-388-8898, , for U.S. Geothermal Inc. Web site:
http://www.usgeothermal.com/
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