TORONTO, ONTARIO--(Marketwire - March 25, 2013) -
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Zidane Capital Corp. (TSX VENTURE:ZZE.P) ("Zidane") is pleased to announce that Grid Essence Holdings Ltd. ("Grid Essence") has mandated Deutsche Bank AG to arrange an up to EUR35 million financing facility to build solar projects (the "Facility").
Further to its press release dated January 17, 2013, Zidane entered into a share exchange agreement (the "Definitive Agreement") with Grid Essence in respect of its previously announced qualifying transaction. Pursuant to the terms of the Definitive Agreement, upon completion, the qualifying transaction will result in a reverse take-over of Zidane by the shareholders of Grid Essence (the "Transaction"). The Transaction is subject to requisite shareholder and regulatory approval, including the approval of the TSX Venture Exchange (the "TSXV") and standard closing conditions. Reference is made to Zidane's press releases dated September 26 and November 27, 2012 and January 17, 2013 for additional details relating to Zidane, Grid Essence and the Transaction.
Upon closing, the Facility will be utilized by Grid Essence to acquire and build up to an aggregate of 32 MW of fully permitted solar projects in the region of Southern France (the "Projects"). Construction of the Projects is anticipated to start in April 2013, with completion and connection to the power grid to be completed in July, 2013. The Facility is available to Grid Essence until September, 2013 at which time the Facility will be replaced by a long term project finance loan. The Projects consist of three (3) different projects totaling 32 MW.
Steve Bourbonnais, the Chief Executive Officer of Grid Essence, commented that "The Facility provides Grid Essence with the flexibility necessary to build the Projects and their completion by the summer of 2013 will be a key milestone in the development of Grid Essence's business plan."
About Grid Essence
Grid Essence (www.gridessence.com) was established to become a global independent power producer producing energy from 100% renewable energy sources ("RES"). Grid Essence's mission is to own and operate at least one gigawatt of renewable energy producing plants within the next 5 years, initially focusing on solar generation. Grid Essence wishes to build a solid platform as a RES power producer to take advantage of the upside offered by evolving renewable energy technologies such as energy storage.
Grid Essence currently has 51 megawatts ("MW") of photovoltaic ("PV") projects under contract and has developed an impressive pipeline of solar projects. To secure the execution of its projects, Grid Essence has entered into a framework agreement with Würth Solar (www.wurth-solar.com) to develop up to 150 MW of solar projects and with Talesun Solar (www.talesun.com) to develop up to 100 MW of solar projects.
All information contained in this news release with respect to Zidane and Grid Essence was supplied by the parties respectively, for inclusion herein, and each party and its directors and officers have relied on the other party for any information concerning the other party.
Completion of the transaction is subject to a number of conditions, including but not limited to, TSXV acceptance and, if applicable, pursuant to the requirements of the TSXV, majority of the minority shareholder approval. Where applicable, the transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the transaction will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon. Trading in the securities of a capital pool company should be considered highly speculative.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements with respect to: the terms and conditions of the proposed Transaction; future exploration and testing; use of funds; and the business and operations of the Resulting Issuer after the proposed transaction. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; delay or failure to receive board, shareholder or regulatory approvals; and the results of current exploration and testing. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Zidane and Grid Essence disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.