RAM Power announces closing of private placement

Ram Power Corp., a North American renewable energy company, has closed the private placement offering of subscription receipts regarding an equity and recapitalization transaction.

Ram Power is engaged in the business of acquiring, exploring, developing, and operating geothermal properties, and has interests in geothermal projects in the United States, Canada, and Latin America.

The private placement consisted of the issuance by the Ram Power of 18,598,500,000 subscription receipts at a price of C$0.004 per subscription receipt for aggregate proceeds of approximately C$74 million. The aggregate proceeds of the private placement are being held in escrow by CST Trust company pending the satisfaction of the escrow release conditions.

As a fee for services related to the private placement, Ram Power was obliged to issue 1,000,040,000 common shares to Goodwood Inc. The number of this shares is equal to 8% of the aggregate proceeds of the private placement divided by the issue price of C$0.004 per share, other than proceeds arising from purchasers of subscription receipts by investment funds or accounts managed by Goodwood or by certain other specified investors.

The firms has also issued 125,000,000 common shares to Dundee Securities Europe LLP as a fee for the financial advisory services provided by Dundee to the company in connection with the firm’s search for a strategic transaction.

On April 28, 2015, the Toronto Stock Exchange (TSX) gave its conditional approval for the private placement to proceed.