MARLBORO, Mass., June 22, 2004 (PRNewswire-FirstCall) — Evergreen Solar, Inc., a developer, marketer, and manufacturer of photovoltaic (solar power) products for the worldwide market, announced the completion of its previously announced private placement financing of $20.0 million of Common Stock and warrants to purchase Common Stock. In connection with the closing of the private placement, all outstanding shares of Series A Convertible Preferred Stock have converted into shares of Common Stock.
“I am pleased to complete this financing with the continued support from our shareholders. We intend to use the net proceeds of approximately $18.5 million to increase our manufacturing capacity to 15 MW, to accelerate our technology development, to add capabilities for future growth and to simplify our capital structure. In addition, we have begun to explore opportunities that include expanding our commercial production to 40 to 50 MW and evaluating potential strategic partners,” remarked Richard M. Feldt, President and Chief Executive Officer.
A total of 7,662,835 shares of Common Stock were issued at a price of $2.61 per share to a syndicate of investors. Investors also received warrants exercisable for a period of five years to purchase 2,298,851 additional shares of Common Stock at an exercise price of $3.335 per share.
After completing the Common Stock financing and the Preferred Stock conversion, Evergreen has approximately 48 million shares of Common Stock outstanding, and no shares of Preferred Stock outstanding. Additionally, approximately 10 million shares of Common Stock are reserved for issuance upon the exercise of outstanding stock options and warrants.
The exerciseability of the warrants is subject to shareholder approval. Evergreen Solar intends to file a preliminary proxy statement with the SEC as soon as practicable and to schedule the vote on the issuance of the warrants to coincide with its annual meeting.
The shares of Common Stock sold in the private placement have not been registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission or an applicable exemption from the registration requirements. The Company expects to file a resale registration statement covering the shares of Common Stock issued in the private placement within thirty (30) days after the closing of the financing. This news release is not an offer to sell or the solicitation of an offer to buy the shares of Common Stock or any other securities of the Company.
Sbout Evergreen Solar, Inc.
Evergreen Solar, Inc. (www.evergreensolar.com) develops, manufactures, and markets solar power products utilizing the Company’s patented solar power technologies. The products provide reliable and environmentally clean electric power in global markets. Solar power applications include wireless power for remote homes, water pumping, lighting, and rural electrification, as well as complete power systems for electric utility customers choosing to generate their own environmentally benign power.