Finavera Wind Energy Inc announced it has secured a $200,000 convertible promissory note (the “Note”). The Note will accrue interest at a rate of 12% per year, which will be payable in cash or common shares of the Company, at the Lenders' option. The conversion price will be the volume weighted average trading price for the 20 day trading period prior to the conversion date.
The lender is at arm's length from the company and will not become an insider as a result of any conversion of principal and interest. All shares issued on any conversion of Note principal or interest will be subject to a four-month hold period from the date of advance of Note proceeds.
Proceeds of the loan will be used for general working capital. The loan is subject to acceptance by the TSX Venture Exchange.