Published:
BATL BioEnergy LLC Invests $3,000,000 in EnerTeck Corporation
EnerTeck Corporation (OTC BB: ETCK) today
announced that it has completed a $3,000,000 private equity financing from
a new investor, BATL BioEnergy LLC. The proceeds from the financing will
be used for general corporate purposes including funding the previously
announced proposed acquisition of Ruby Cat Technology, the manufacturer of
EnerBurn, the Company's flagship product. Further, the Company will retire
outstanding debt and payables and add to its sales and marketing staff.
Additional use of proceeds from this financing may include funding of new
project development.
In consideration for the financing, the Company issued the investor
2,450,000 shares of the Company's Common Stock and issued the investor a
5-year warrant entitling the investor to acquire another 1,000,000 shares
at $2.00 per share, which will net the Company a further $2,000,000 if
exercised. Thomas Donino, President of BATL BioEnergy LLC, has also been
appointed to the Board of Directors of the Company.
Dwaine Reese, CEO of EnerTeck, said: "I am pleased that an investor as
sophisticated as BATL has decided to move ahead with its investment in our
Company. We are pleased to have significantly enhanced our cash and
liquidity position as a result of this investment and coupled with the
additional cash forthcoming from warrant exercise; we do not anticipate any
further offerings for some time. We believe that the validation of our
business model through the rigorous due diligence process, coupled with
successful proof of performance tests completed by large commercial
consumers of diesel fuel, place EnerTeck at the forefront of energy
technology companies globally. I look forward to moving ahead with
developing sales and new markets for our product."
EnerTeck Corporation, through its wholly owned subsidiary, EnerTeck
Chemical Corp., specializes in the sales and marketing of a fuel borne
catalytic engine treatment for diesel engines known as EnerBurn(TM).
Statements contained herein that are not based upon current or historical
fact are forward-looking in nature. Such forward-looking statements reflect
the Company's expectations about its future operating results, performance
and opportunities that involve substantial risks and uncertainties. When
used herein, the words "anticipate," "believe," "estimate," "plan,"
"intend" and "expect" and similar expressions, as they relate to EnerTeck
Corporation, or its management, are intended to identify such
forward-looking statements. These forward-looking statements are based on
information currently available to the Company and are subject to a number
of risks, uncertainties, and other factors that could cause the Company's
actual results, performance, prospects, and opportunities to differ
materially from those expressed in, or implied by, these forward-looking
statements. Factors that could cause or contribute to such differences
include, but are not limited to, such factors discussed in the Company's
Annual Report on Form 10-KSB for the year ended December 31, 2004. Except
as required by the Federal Securities law, the Company does not undertake
any obligation to release publicly any revisions to any forward-looking
statements to reflect events or circumstances after the date hereof or for
any other reason.
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