OTTAWA, Sept. 30, 2011 /CNW/ - Clearford Industries Inc. ("Clearford" or the "Company", TSX-V:CLI) today received $150,000 through the exercise of warrants by SC Stormont Holdings Inc. ("Stormont") into 1,000,000 common shares.
This exercise was pursuant to a previously announced agreement where Stormont had agreed to exercise a minimum of $800,000 in warrants representing approximately 5.3 million common shares through 2011. Stormont has now exercised a total of $250,000 of warrants in September 2011.
"The decision to commit to exercising our warrants reflects the confidence that Stormont has in Clearford," commented Roderick Bryden, Stormont Chairman. "This also reflects the belief that Stormont's interest as a significant current shareholder would not be well served by the issuance of additional common shares from Treasury at current price levels with the effect of increasing fully-diluted shares outstanding."
Stormont will now exercise a minimum additional $550,000 in warrants representing approximately 3.7 million common shares through the end of 2011 with a minimum of $250,000 to be exercised in each of October and November, 2011.
Separately, and as previously announced, on August 18, 2011 the Clearford Board of Directors approved a grant of 75,000 options to Ubika Corporation ("Ubika") in association with an investor relations agreement that Clearford signed with Ubika. Options vest at 25% quarterly over a one year period, expire on March 21, 2013 and are exercisable into common shares of Clearford at a price of $.37 per common share.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
About Clearford Industries Inc.
Clearford Industries Inc. (TSX-V: CLI) is the developer of the patented Small Bore Sewer™ (SBS™), a watertight small diameter wastewater collection system that provides servicing with superior operational and environmental performance at a significantly lower cost when compared to historic gravity sewers. Clearford's SBS™ technology and industry expertise provide the enabling platform to deliver, on a global basis, turnkey, fixed-price wastewater collection, treatment and energy generation solutions that are ideally suited for water-scarce regions, those with unreliable water distribution networks, and new developments seeking a greener approach to water and wastewater management. For more information on Clearford, please visit www.clearford.com.
Forward Looking Statements
This news release contains certain statements that constitute forward-looking statements as they relate to the Company and its management. Forward-looking statements are not historical facts but represent management's current expectation of future events, and can be identified by words such as "believe", "expects", "will", "intends", "plans", "projects", "anticipates", "estimates", "continues" and similar expressions. Although management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that they will prove to be correct.
By their nature, forward-looking statements include assumptions and are subject to inherent risks and uncertainties that could cause actual future results, conditions, actions or events to differ materially from those in the forward-looking statements. If and when forward-looking statements are set out in this news release, Clearford will also set out the material risk factors or assumptions used to develop the forward-looking statements. Except as expressly required by applicable securities law, the Company assumes no obligation to update or revise any forward looking statements. The future outcomes that relate to forward-looking statements may be influenced by many factors, including, but not limited to: industry cyclicality; the ability to secure third party agreements; successful integration of Clearford's system with third party technology; competition; reduction in demand for products; collection from customers; relationships with suppliers; product liability; intellectual property; reliance on key personnel; environmental; interest rates; uninsured and underinsured losses; operating hazards; risks of future legal proceedings; income tax matters; credit facilities; availability and terms of financing; distribution of securities; restrictions on potential growth; effect of market interest rates on price of securities; and potential dilution.