Hillcrest Energy Technologies Ltd (CSE:HEAT, OTCQB:HLRTF) announced that it will draw down $540,000 from its $5 million equity drawdown facility which will be used for technology and product development, commercialization, investor relations and general working capital.
The clean technology company said that, per the terms of the equity facility, the investor has confirmed it will fund the July drawdown in full.
It will issue the investor units of the company equal to $540,000, comprised of one share and one-half of a share purchase warrant.
The units will be issued at a price equal to the greater of the discounted market price permitted under the policies of the Canadian Securities Exchange and 90% of the average closing bid price for the 10 consecutive trading days before the proposed closing date for the drawdown.
The July drawdown is expected to be completed by August 2, 2024.
Investors welcomed the update, sending shares of Hillcrest almost 35% higher at US$0.29 before the stock market opened on Tuesday.