VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 14, 2014) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
NaiKun Wind Energy Group Inc. (TSX VENTURE:NKW) ("NaiKun" or the "Company") and Mr. Joseph Houssian, a director and insider of the Company, are pleased to announce that, following receipt of approval of the Company's disinterested shareholders at the Company's annual general and a special meeting held June 26, 2014, it has closed the private placement previously announced on April 25, 2014 of the sale of 10,000,000 units (the "Units") to Joseph Houssian, a director of the Company. The 10,000,000 Units were issued at a price of $0.07 per Unit for gross proceeds of $700,000 with each Unit consisting of one common share of the Company (a "Common Share") and 0.75 common share purchase warrant (each whole warrant, a "Warrant"). Each whole Warrant will entitle Mr. Houssian, the holder, to acquire a Common Share at the exercise price of $0.10 per share until July 14, 2019.
NaiKun intends to use the net proceeds from the Offering for general corporate purposes, including working capital, to further the development of the Haida Energy Field Project.
All securities issued in connection with the Private Placement are subject to a prescribed four month hold and restricted trading period pursuant to applicable securities laws ending on November 15, 2014.
Pursuant to the Private Placement, Mr. Houssian, a director of NaiKun, acquired ownership and control of 10,000,000 Shares of the Company at a price of $0.07 per Share, which are subject to the prescribed four month hold and restricted trading period. Together with securities previously acquired by Mr. Houssian, Mr. Houssian holds 10,301,250 common shares of the Company representing approximately 19.44% of the issued and outstanding Shares of NaiKun. The Company has been advised that Mr. Houssian acquired the Shares for investment purposes and may acquire additional Shares or could dispose of Shares as he sees fit, subject to applicable securities trading and disclosure rules and regulations. A copy of the Early Warning Report will be filed with the applicable securities regulators in respect of the above acquisition and will be available at www.sedar.com under NaiKun's SEDAR profile.
As previously reported, Mr. Houssian will work with the Company's board of directors (the "Board"), Mike O'Connor (Chief Executive Officer of the Company), and the Company's officers, employees, consultants, suppliers (including Siemens), and staff to complete the project. Mr. Houssian will provide considerable experience, resources and time to develop the Haida Energy Field Project; the first offshore wind project in Canada. He will provide his services at no cost to the Company.
Mr. Houssian has extensive experience in business development, growth, and operations. Mr. Houssian founded Intrawest Corporation ("Intrawest"), a global developer and operator of luxury mountain, golf, and beach resorts. Intrawest's operations and ancillary businesses included Abercombie & Kent, which operates in 100 countries. When sold in 2006, Intrawest employed 25,000 people with annual revenues over $1.5 billion. Currently, Mr. Houssian is Chairman and founder of Intracorp Development, an urban real estate development company and Elemental Energy Inc., a renewable energy development and operating company. He has also served on the boards of Versacold Corporation, Lions Gate Entertainment Corp and BC Hydro.
NaiKun is also pleased to announce that at its annual general and special meeting the shareholders re-elected Philip Hughes, Michael C. Burns, Joseph Houssian, Michael O'Connor and David Rehn to the Board of Directors and re-appointed KPMG LLP, Chartered Accountants as auditors of the Company.
About NaiKun Wind
NaiKun Wind is a British Columbia-based renewable energy company. Located on B.C.'s northwest coast, where the wind resource is one of the strongest and most consistent in the world, NaiKun Wind's 396MW offshore wind project would generate enough energy to provide electricity to 130,000 B.C. homes. If the project does proceed it is expected to result in an estimated 500 jobs during construction, 50 permanent jobs for maintenance and operations and over $400 million in direct expenditures in the province during construction, of which $250 million will benefit North Coast communities.
The NaiKun Wind project is at an advanced stage of development with environmental approvals from the Provincial and Federal Governments and agreements in place with key suppliers and First Nations. Given its development status, construction can begin within two years of the award of an electricity purchase agreement. For more information on NaiKun Wind, please visit www.naikun.ca.
Forward-Looking Information
This news release contains statements which are not current statements or historical facts and are "forward-looking information" within the meaning of applicable Canadian securities laws. All statements, other than statements of historical fact, contained in this news release constitute forward-looking information. Wherever possible, words such as "plans", "expects" or "does not expect", "budget", "forecasts", "projections", "anticipate" or "does not anticipate", "believe", "intent", "potential", "strategy", "schedule", "estimates" and similar expressions or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved and other similar expressions have been used to identify forward-looking information. These forward-looking statements relate to, among other things, the completion of the Offering and the Company's expectations regarding the use of proceeds from the Offering.
Although the forward-looking information in this news release reflects the Company's current beliefs on the date of this news release based upon information currently available to management and based upon what management believes to be reasonable assumptions, the Company cannot be certain that actual results, performance, achievements, prospects and opportunities, either expressed or implied, will be consistent with such forward-looking information. By its very nature, forward-looking information necessarily involves significant known and unknown risks, assumptions, uncertainties and contingencies that may cause the Company's actual results, assumptions, performance, achievements, prospects and opportunities in future periods to differ materially from those expressed or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, the successful closing of the Offering, the receipt of funds from Mr. Houssian, and the successful development of the Haida Energy Field Project. There may be other factors that cause results, assumptions, performance, achievements, prospects or opportunities in future periods not to be as anticipated, estimated or intended.
There can be no assurances that forward-looking information and statements will prove to be accurate, as many factors and future events, both known and unknown could cause actual results, performance or achievements to vary or differ materially, from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements contained in this news release. Accordingly, all such factors should be considered carefully when making decisions with respect to the Company, and prospective investors should not place undue reliance on forward-looking information. The Company assumes no obligation to update or revise forward-looking information to reflect changes in assumptions, changes in circumstances or any other events affecting such forward-looking information, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.