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EWING, N.J.--(BUSINESS WIRE)--WorldWater & Solar Technologies Corp. (OTC BB: WWAT.OB - News), developer and marketer of proprietary high-power solar systems, today announced that it has raised $35.64 million from The Quercus Trust (“Quercus”) in a private placement of 20,000 shares of WorldWater Series F Convertible Preferred Stock at a price of $1,782.00 per share. Each share of the Series F Convertible Preferred Stock is convertible into 1,000 shares of WorldWater common stock. Quercus also received warrants to purchase 29 million additional shares of common stock at an exercise price of $1.815. Complete terms of the transaction will be described in a Form 8-K to be filed with the Securities and Exchange Commission. ADVERTISEMENT
“Thanks to the steadfast commitment of the Quercus Trust, WorldWater now has the funds critical to drive future growth,” said Quentin T. Kelly, Chairman and CEO. “A portion of the financing will be utilized to complete the construction of our 50 MW production plant in Texas, which is vital to the many large awards we are now pursuing. The funds will also be used to hire staff, support global expansion, and bolster our R&D. WorldWater is clearly positioned for a strong 2008 and, with the acquisition of ENTECH now complete, ramping up to meet the rapidly-developing demand for solar energy worldwide.”
Prior to February 8, 2008, The Quercus Trust and its affiliates owned shares of WorldWater common stock and preferred stock convertible into shares of WorldWater common stock representing approximately 11.5% of the equity ownership in the Company on a fully diluted basis. With this agreement, the Quercus Trust and its affiliates will own approximately 24.1% of the equity ownership in WorldWater on a fully diluted basis
-------------------- What can i say??I'm a greedy B*stard
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An Open Letter to: WWAT Stockholders, Management, and Potential Investors
Yesterday I had the opportunity to listen in on Frank Smith’s 10:00 AM question and answer session. This new openness brings a great ability for stockholders to be involved and stay informed with the World Water and Solar Technologies operation. I was impressed.
I believe that a few topics were not mentioned which are very worthy of comment.
To add credibility to my comments and to demonstrate my ability and knowledge to make these statements, you must know who I am. My name is Don Sable, II. I have been associated with Entech for almost two decades. At the time of the merger, I was one of the two largest stockholders of Entech. I now have over four million shares of WWAT.
My first point is ..... that while WWAT may be experiencing cost overruns on the Fresno and Denver jobs, these jobs were bid with WWAT being primarily an installer of other manufacture’s flat plate systems. This forced WWAT to bid these jobs with a very narrow profit margin. Valuable information, experience, and contacts will ultimately be derived from these two jobs.
The scenario will be far different when WWAT bids jobs using their own proprietary Entech arrays. As said yesterday by Mark O’Neill, Entech’s Chief Technology Officer, and as I personally know, due to the efficiency of the Entech design, the Entech system can be built and installed for a cost which is 25% to 50% less than conventional flat plate systems. WWAT and Entech have the possibility of being able to underbid all other solar systems and to be awarded all the work which they can handle. This equates to a very profitable bottom line for WWAT and due to the volume, a need for additional Entech manufacturing facilities in the future.
My second point is .... that while rebates and tax credits for green energy investments may be in question at this point, the increasing cost of carbon based fuels and the desire to have a fixed long term cost of electricity will fuel the investment in solar and wind generated electricity. Yesterday no mention was made of the value added by carbon credits, which will only become more valuable in the future.
Yesterday’s ABC nightly World News at 5:30 central time presented three very interesting stories which support a long term investment in WWAT.
First .... was a story about the rising price of oil. Yesterday oil made a record increase in its price. It can be concluded that as oil and natural gas increase in price, so will coal. As feeder stock energy increases to electrical generation plants, the cost of electricity will also increase.
Second.... was a story with the claim made that the cost of electricity will increase 6.5% over the next year.
Third .... was a story about a small Missouri town of 1300 people which bought four wind generators to produce electricity for their town. This investment will keep the cost of electricity fixed for ten years. The story indicated that there would be surplus electricity generated for another 1300 people.
In conclusion, I must say that I am “bullish” on the long term outlook for WWAT. While knowing the profits to be generated by the sales of Entech systems, I can overlook another possible quarter of loss. Entech arrays should be rolling off the line in August. I am definitely impressed with the new WWAT management team headed by Frank Smith.
I intend to retain my WWAT stock. With the current low price of WWAT stock, I would advise others to buy.
Donald E. Sable, II, WWAT Stockholder Shop: (405) 848-9649 Home: (405) 843-3389 Cell: (405) 234-0243 E-mail: Banddsable*aol.com
-------------------- What can i say??I'm a greedy B*stard
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GREAT, entry point for this stock. Give it 6 months and you will be VERY happy. The whole management team is different now,thanks to David Gelbaum(largest holder with over 30 million shares)
-------------------- What can i say??I'm a greedy B*stard
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