Helix Wind Closes Round of Financing
Potential raise of up to $400,000 for the Company
POWAY, Calif., Jan. 25, 2011 /PRNewswire/ -- Helix Wind Corp. (OTC Bulletin Board: HLXW), a renewable energy company, announced today the close of a financing with St. George Investments, LLC, an Illinois limited liability company, in an amount up to $400,000 of funding to the Company.
The terms of the financing transaction consists of the Company issuing a six month convertible secured promissory note (the "First Note") in the aggregate principal amount of $72,500. After the original issue discount and transaction fees, the amount provided under the First Note is $50,000. The financing is structured for the Company to receive the funding in eight tranches, with the first tranche totaling $50,000 which was delivered to the Company on January 20, 2011. The terms of the financing provided that so long as no default has occurred and the Company has satisfied certain other conditions, St. George will loan the Company an additional $50,000 on or about each two week anniversary of the issuance of the First Note during the four consecutive calendar months following the closing, for a total net amount of $350,000 in additional financing.
The convertible notes are also subject to certain other events of default and liquidity events which could accelerate the Company's repayment obligations, and/or permit St. George to exercise its rights entered into in connection with the financing. Additional information regarding the financing, and copies of the financing documents, can be found in the Company's Form 8-K filed with the U.S. Securities and Exchange Commission on January 25, 2011.
About Helix: Helix Wind, Corp., a renewable energy company is engaged in the design, manufacturing and sales of small wind vertical axis turbines designed to generate 300W, 1kW, 2.0kW, and 4.5kW of clean, renewable electricity. Additional information can be found at www.helixwind.com.
Forward Looking Statements: A number of statements contained in this press release are forward-looking statements within the meaning of applicable federal securities laws, including, without limitation, anything relating or referring to future financial results and plans for future business development activities, and are thus prospective. These forward-looking statements involve a number of risks and uncertainties, including our ability to attract and retain management and field personnel with experience in the small wind turbine industry, our ability to raise capital when needed and on acceptable terms and conditions, the intensity of competition and general economic factors. The actual results Helix Wind may achieve could differ materially from any forward-looking statements due to such risks and uncertainties. Helix Wind encourages the public to read the information provided here in conjunction with its most recent filings, which may be viewed at www.sec.gov.
SOURCE Helix Wind, Corp.
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