Dominovas Energy Announces Plan to Restructure and Consolidate Outstanding Debt
ATLANTA, GA--(Marketwired - Jun 29, 2016) - Dominovas Energy Corporation (OTCQB: DNRG) today announces the activation of a plan targeted to restructure and eliminate the Company's approximately $700,000 in convertible debt. As the Company entered into an agreement with GHS Investments, LLC and it received an effective notice for its S-1 filing in January of this year for up to US $7.5M, its plan now is to utilize this vehicle for operating capital and to reduce its convertible debt.
On November 12th, 2015, the Company closed agreements with GHS Investments, LLC for the purchase of Dominovas Energy shares which would allow the Company to receive up to $7.5M. On January 11, 2016, the Company received its notice of effectiveness for the S-1 Registration Statement from the Securities and Exchange Commission that was filed late December of 2015. This plan represents a shift in the overall financing strategy of Dominovas Energy, moving away from the utilization of convertible debt as a sole source of financing.
As the Company draws down on its GHS Investment equity line and has additional cash proceeds available, it plans to enter into discussions with its convertible debt financing partners for the potential repayment of the convertible notes with cash instead of shares. The Company is also in discussions with GHS Investments regarding long-term equity financing strategy that is not a convertible debt structure. Dominovas Energy currently has no plans to take on any new debt or operational capital in connection with this restructuring plan.
"Dominovas Energy is one of the most prolific companies of its kind in the fuel cell industry. It has best-in-class strategic partners for the build and manufacturing of its RUBICON™ fuel cell system; it has contract orders for multiple-Megawatts (MW); it has project financing in place once requisite guarantees are set and in place; the Company has what most Companies in the industry have longed for - so we had to take a close look at what could be depressing the stock price," said Dominovas Energy COO Michael Watkins. "We came to the realization and belief that there is simply too much pressure on the stock as a result of the existing convertible debt; and with our new plan to eliminate said debt, we hope to see representative growth for the Company. We have changed our methods of financing and operating the Company with a goal of increasing clarity and reporting of our operations and providing a stronger vehicle for our shareholders," Watkins concluded.
"With the successful presentation of the 50kW 'Showcase' set for installation in Johannesburg, South Africa in August, the Company will be well on its way for the eventual deployment of its multi-Megawatts units in sub-Saharan Africa," said Watkins.
About Dominovas Energy Corporation (OTCQB: DNRG)
Founded in 2005, Dominovas Energy Corporation (DEC) is a publicly traded company, based in Nevada. With its operating headquarters in Atlanta, Georgia, USA, Dominovas Energy Corporation is a leading power solutions provider to emerging markets around the world. DEC employs its proprietary RUBICON™ Solid Oxide Fuel Cell (SOFC) technology for deployment in multi-megawatt power generation units worldwide. The worldwide pursuit of clean and efficient production of electricity via Solid Oxide Fuel Cell technology inspired its founders to create an "energy solutions" company. Recognizing that "green" and "alternative energy" markets offer immense potential for growth, Dominovas Energy is aggressively moving to allocate its intellectual and financial capital forthwith, in order to strategically address a green energy solution that is 100% reliable, efficient, and measurably cleaner than GenSets and CCGT. Additionally, unlike wind and solar solutions the RUBICON provides baseload power 24/7/365 days a year. By manufacturing and deploying the RUBICON™ throughout of the world, Dominovas Energy is committed to creating shareholder value by not only generating guaranteed revenue streams, but also by increasing the value of "human and community capital." Devoted to core values by operating under the utmost of honesty and integrity in all its business transactions, Dominovas Energy is additionally dedicated to respecting the rights of all individuals, while acknowledging and respecting all cultures necessary to support the growth and development of the communities and countries in which it operates. The Company strongly believes in the impact this singularly advanced technology will make on the world and is resolute in its mission to provide electricity where and when economically viable.
For more information, visit www.dominovasenergy.com.
Forward-Looking Statements
This press release, as well as other statements made by Dominovas Energy Corporation (the "Company"), contain forward-looking statements that reflect, when made, the Company's current views with respect to current events and financial performance. Such forward-looking statements are subject to many risks, uncertainties and factors relating to the Company's operations and business environment, which may cause the actual results of the Company to be materially different from any future results. All statements that address future operating, financial or business performance or the Company's strategies or expectations are forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements as is applicable would be discussed under captions as follows: "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's filings as would be filed with the Securities and Exchange Commission as required. New risks and uncertainties arise from time to time, and it is impossible for us to predict these events or how they may affect the Company. It should be remembered that the price of the ordinary shares and any income from them can go down as well as up. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events and/or otherwise, except as may be required by law.
