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Octus Inc.(fka OCTI) RSS Feed

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Overview


Octus Inc. (Octus) is an energy management company. The Company is engaged in developing, marketing and selling lighting, cooling and energy management solutions. The Company has developed OctusSEP (Smart Energy Platform), an energy savings and demand response management program for the energy management market in the United States. The Company focuses on becoming a renewable energy efficiency company that brings renewable energy solutions to the commercial and public sector markets.  In June 2010, the Company acquired Quantum Energy Solutions, Inc.

OCTus will team with *Ygrene Energy Fund to collaboratively develop and market the City of Sacramento's commercial PACE (Property Assessed Clean Energy) financing program under a contract awarded to Ygrene on September 27, 2011.

*About Ygrene Energy Fund Ygrene Energy Fund, headquartered in Santa Rosa, California, is the leading developer and administrator of PACE financing programs. Ygrene has developed a coalition of leading financial, energy efficiency and climate change organizations to deliver no-cost, turnkey PACE financing on behalf of municipal governments. Partners include Barclays Capital, Clean Fund, Lockheed Martin, Octus, Carbon War Room, Environmental Defense Fund, and the U.S. Business Council for Sustainable Development. Learn more at http://ygrene-energy.com.

 

Octus Energy has the Exclusive Worldwide License for Energy-Efficient Evaporative Cooling Technology

The license provides Octus with patent rights to Wickool, which was developed by the UC Davis Western Cooling Efficiency Center (WCEC), in all fields of use, with full rights to sublicense. Wickool is being commercially tested by WCEC at Target Corp. and Wal-Mart stores as a retrofit to rooftop HVAC units."

The Octus Smart Energy Platform (OctusSEP) integrates, automates and optimizes the energy-efficiency of lighting and cooling equipment, controls, sensors and systems such as Wickool. In the United States there are approximately 4 million 7.5-ton or larger unitary rooftop air conditioning units, with $40 billion spent annually to cool commercial buildings, representing one-sixth of all energy consumed nationally.

"Wickool exemplifies what Octus looks for in smart energy products: A differential solution germinating from a world-class research university that addresses an immense and growing market," said Octus CEO Chris Soderquist. "The WCEC drives innovation in the HVAC industry, and Octus looks forward to commercially harvesting Wickool."

"Wickool addresses an important niche in cooling more efficiently," said Modera. "It makes use of the condensate water that is normally wasted from existing roof-top packaged air conditioners to improve their cooling efficiency, and can be applied as a retrofit accessory. Moreover, the cost of installing Wickool can be significantly offset by avoiding the need for condensate piping."

This collaboration between WCEC and Octus Energy is evidentiary of how innovations can be brought to market," said Benjamin Finkelor, executive director, UC Davis Energy Efficiency Center. "There is tremendous potential to improve the efficiency -- and reduce the electricity consumption and peak demand -- of HVAC systems. Wickool is a simple, pragmatic, ready-to-market solution."

Economic, innovation and public policy developments are creating an opportune environment for Octus," said Soderquist. "Organizations are seeking pragmatic and immediate measures to reduce their energy costs. Innovative alternative energy and energy efficiency solutions are primed for commercialization. And, the Federal Stimulus Plan has more than $16 billion in relevant funding, including $4.5 billion to increase the energy efficiency of federal buildings, $6.3 billion in state energy-efficiency and clean- energy grants, and $6 billion in loan guarantees. There is an immediate, paramount opportunity for Octus to create and conserve energy through our proactive strategy."


 

Octus will fulfill its mission by:

  • • Solving a big problem (energy consumption) with a
    systematic solution (OctusSEP) that saves energy and money,
    while generating substantial environmental benefits;
  • • Creatively financing smart energy projects through
    Octus's Energy Savings as a Service program; and,
  • • Commercializing "need to have" -- versus "nice to have" --
    solutions with short pay-back periods and measurable economic benefits.

 

 

Energy-Efficiency Products

Approximately 70 percent of a commercial building's electricity costs are attributed to heating, cooling and lighting; therein, industry experts contend, are the most profound opportunities to create energy efficiencies. Octus will seek to license or acquire - from leading energy research institutions and companies - energy efficiency solutions when technology risk is mitigated and market opportunity is primed.

  • Solutions: Energy-efficient HVAC and lighting products and
      controls for the commercial and public sector markets.
  • Approach: Assemble and commercialize a portfolio of
      products (e.g., HVAC evaporative cooling systems).
  • Economics: Commercialize solutions with minimum
      year-three revenue projections of $10 million per product.

Affiliations

California Lighting Technology Center
California Lighting Technology Center

The California Lighting Technology Center was established by the California Energy Commission and the University of California, Davis, with support from the U.S. Department of Energy and the National Electrical Manufacturers Association. CLTC engages in cooperative and independent projects with lighting manufacturers, electrical utilities, and design and engineering professionals, facilitating the commercialization of products. More than 40 leading companies, including a who's-who list of lighting manufacturers, are affiliated with CLTC.
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UC Davis Energy Efficiency Center
UC Davis Energy Efficiency Center

The Energy Efficiency Center at the University of California, Davis works closely with utilities, government agencies, industry, investors, stakeholder organizations and researchers from multiple academic institutions to accelerate the development and commercialization of energy efficiency technologies. The EEC was established in 2006 with a challenge grant from the California Clean Energy Fund as the first university-based energy efficiency center in the United States to focus on the transfer of technology into the marketplace.
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Western Cooling Efficiency Center
Western Cooling Efficiency Center
The Western Cooling Efficiency Center, created along with the UC Davis Energy Efficiency Center, brings a wide range of emerging cooling technologies to market through research, technical support and educational efforts. The WCEC is guided by a 12-person Steering Committee including representatives from the major California public utilities, the California Energy Commission, the US National Renewable Energy Laboratory and major retailers. The 20-plus WCEC affiliates range from start-up companies to the largest HVAC manufacturers in the world.
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OTCBB:OCTI - Octus Inc.

Description of Capital Stock
 
Our authorized capital stock consists of the following:
  • Common stock, $0.001 par value, 100,000,000 shares authorized; approximately 43,437,072 shares issued and outstanding;
  • Series A preferred stock, $0.001 par value, 300,000 shares authorized, no shares issued or outstanding;
  • Series B preferred stock, $0.001 par value, 910,000 shares authorized, no shares issued or outstanding;
  • Series C 6.0% cumulative preferred stock, $0.001 par value, 250,000 shares authorized, no shares issued and outstanding; and
  • Undesignated preferred stock, $0.001 par value, 540,000 shares authorized, no shares issued or outstanding.

On February 24, 2009, the Company entered into employment agreements with Christian J. Soderquist and George M. Ecker pursuant to which Mr. Soderquist will serve as Chief Executive Officer of the Company and Mr. Ecker will serve as Chief Financial Officer of the Company.  Mr. Soderquist and Mr. Ecker were also appointed directors of the Company and our former President and sole director, Mr. David Pere, resigned from all offices on that same day.  Concurrently, the Company executed restricted stock purchase agreements dated February 24, 2009, with each of Mr. Soderquist and Mr. Ecker.

 

Pursuant to the restricted stock purchase agreements and the employment agreements, the Company will issue to each person 15,000,000 shares of common stock in consideration of services performed.

 

Under the terms of the restricted stock purchase agreements, a portion of the shares is subject to repurchase by the Company if certain milestones are not achieved before the first anniversary of the date of the purchase agreements. For each of the following events that are not achieved before the first anniversary of the date of the purchase agreements, 25% of the shares are subject to repurchase by the Company at the original purchase price per share. If all four milestones are achieved, then all of the shares become fully vested. The milestone events are: completion of sale of equity securities of the Company with proceeds to the Company of $100,000 or more; execution by the Company of a license agreement or purchase contract with at least two third-party persons or entities to acquire or license technologies and/or products related to the Company's intended business; receipt of revenues from the sale by the Company of products licensed or owned by the Company; and execution by the Company of a renewable energy and/or energy efficiency project contract. In the event of a change in control of the Company, defined in the agreement to include events such as a merger or sale of assets transaction which results in more than a 50% change of ownership of the Company, all restrictions lapse and the shares will become fully vested.

 

There are approximately 43,437,000 shares of common stock outstanding, and therefore the 30,000,000 shares issued pursuant to the purchase agreements represents approximately 69% of the outstanding shares of the Company after giving effect to the issuance of the shares.
 
 

On March 17, 2009 we entered into an agreement with the University of California ("UC") that gives us the exclusive right, for a period of six months, to pursue negotiations with the UC to enter into a license of UC's Wicking Condensate Evaporator at AC Condenser (Wickool). A Provisional Patent application has been filed related to the Wickool technology.  If we enter into a license agreement with UC, the agreement is expected to provide Octus with exclusive worldwide patent rights to Wickool, which was developed and is being commercially tested by the UC Davis Western Cooling Efficiency Center (WCEC), in all fields of use, with full rights to sublicense. Wickool, which is being commercially tested by the WCEC in association with Target Corp. and Wal-Mart,   is a retrofit to commercial rooftop air conditioning units. Wickool repurposes, with no electrical connections or moving parts, the evaporative condensate created by HVAC systems to improve energy usage.

Senior Management

Octus is managed by a team of proven, entrepreneurial executives, and is supported by a world-class group of strategic partners and industry and professional advisors.


Chris Soderquist, President, CEO & Director
Mr. Soderquist has 17 years experience founding, managing, advising, capitalizing and selling companies in the clean tech, high tech, professional services and private equity industries. Most recently, he co-founded and served as Managing Director of Crescendo, a luxury real estate investment firm that was acquired in 2008 by Abercrombie & Kent. He also created and sold a marketing strategy firm that he grew to 130 clients, and founded and directed several software companies. Previously Mr. Soderquist managed two business incubators, Technology Development Center and Venture Lab, and served on the board of directors of waste-to-energy company Sierra Energy, the Sacramento Entrepreneurship Academy (of which he was president for three years), the Sacramento Area Regional Technology Alliance, and UC Davis Connect. He earned a BS from Cal Poly, San Luis Obispo, and an MBA from the University of California, Davis.

George Ecker, CFO and Director
Mr. Ecker is the President and Director of Nova Mobility Systems, a company specializing in the design and manufacture of rugged handheld mobile computers. He has more than 25 years of entrepreneurial and management experience in international and domestic ventures. Previously, Mr. Ecker was the President and Managing Director of Channel Financial Group, a financial services company providing corporate consulting and strategic services to international private equity managers. He holds a Bachelor of Science degree in Finance, with honors, from the University of the State of New York.

John Argo, Director, Energy Projects & Finance
Mr. Argo has 21 years experience in large-scale project and technology management. Prior to joining Octus, Mr. Argo founded and was CEO of Q1 NanoSystems (Bloo Solar). He is co-inventor on 11 pending patents for ultra-thin film solar cells and nanostructured devices. He is a certified Project Management Professional and a member of the American Council on Renewable Energy (ACORE) Founding 500 and Solar Energy Industry Association (SEIA). He led teams implementing leading-edge solutions at Hewlett-Packard and Electronic Data Systems. Mr. Argo earned an MBA from the University of California, Davis and is currently President of the Graduate School of Management Alumni Association. He is also a founder and partner of Crystal Basin Cellars, a California winery.

Tobin J.M. Richardson, Senior Advisor, Energy Markets
Mr. Richardson has 15 years' experience in strategy and business development with energy and technology companies. He is Director of the ZigBee Smart Energy Initiative, where he drives adoption of energy efficiency technology in key smart energy markets. In 2008, Richardson directed Pacific Gas and Electric Company's smart meter upgrade RFP, following three years with the California utility working with the executive team on the company's transformation process, managing stakeholder and regulatory relationships. Prior to PG&E, he directed business development for organizations including Affiliated Computer Services, CenterBeam, Pandesic, Georgetown University, and numerous U.S. federal agencies. He earned a master's degree from Georgetown University, and a bachelor's degree from the University of California, Davis.

Siva Gunda, Senior Engineer, Smart Energy Solutions
Mr. Gunda is the Southern California Edison International Energy Efficiency Fellow and an Emerging Venture Analyst with the UC Davis Energy Efficiency Center, where he commercializes energy efficiency technologies germinating from the California Lighting Technology Center and Western Cooling Efficiency Center. Previously, he was an industrial designer with General Electric and held positions with Pacific Gas and Electric, the California Air Resources Board, and the California Fuel Cell Partnership, where he garnered invaluable experience in both design and policy in energy efficiency. Gunda is completing his Ph.D. in mechanical engineering, with a focus on energy systems, at UC Davis.

Mananya Chansanchai, Energy Services Program Manager
Ms. Chansanchai was a PG&E Energy Efficiency Fellow and Emerging Venture Analyst for the UC Davis Energy Efficiency Center (EEC) where she focused on the development and commercialization of energy efficient technologies. Her work through the EEC included market sizing of lighting technologies for K-12 schools in conjunction with the California Lighting Technology Center (CLTC), background research of HVAC opportunities for educational facilities in conjunction with the Western Cooling Efficiency Center (WCEC), and developing a life cycle cost calculator for energy efficiency projects. Previously she worked at McKesson Corporation and Citibank. She earned an MBA from UC Davis and a B.A. from UC Santa Cruz.

 

Advisory Group


Richard Bourne, Associate Director and Founder, Western Cooling Efficiency Center
Richard Bourne is Associate Director of the University of California Western Cooling Efficiency Center (WCEC). Prior to founding WCEC, he was a principal at Davis Energy Group (DEG), where he served as founding president from 1981 through 1997. At DEG Dick managed a team developing emerging energy-efficiency technologies. Projects included the DualCool system for packaged rooftop cooling units; the IDEC advanced two-stage evaporative cooler; the HyPak hydronic rooftop cooling unit; the NightSky night-radiative cooling system; and the SunCache low-cost solar water heating system. Mr. Bourne served as Chairman of ASHRAE's radiant heating/cooling technical committee, and holds 20 U.S. patents.

Mark Henwood, CEO, Henwood Associates, Inc.
Mark Henwood is the CEO of Henwood Associates, Inc., an engineering company and a General Engineering Contractor that has served the hydroelectric industry for 28 years. During his career, he has developed 14 power projects, and his company currently operates five projects. Previously, he grew Henwood Energy Services, Inc. into one of the premier providers of software, information, and consulting services to the global power industry with more than 350 customers in the United States. He is active in promoting sustainable energy businesses as Vice Chairman of CleanStart and as the author of sustainable energy stock tracking web site Camino Energy.

Harry Laswell, Managing Director and Co-founder, American River Ventures
Harry Laswell is a Managing Director of American River Ventures, a venture capital firm that invests in energy efficiency, energy intelligence and advanced materials companies. Prior to co-founding American River Ventures, Mr. Laswell spent 21 years with Intel Corporation, most recently as a Managing Director at Intel Capital, where he managed a team that invested in 41 companies -- nine of these companies had successful IPOs. Before joining Intel Capital, he held marketing management and general management positions in a number of Intel business units. Mr. Laswell was responsible for conceiving and launching new products that generated over $1 billion in annual revenues.

Mark P. Modera, Ph.D., Director, UC Davis Western Cooling Efficiency Center
Mark P. Modera is the Director of the Western Cooling Efficiency Center (WCEC), and is a Professor in the Civil and Environmental Engineering department at UC Davis. He is also the Sempra Utilities Distinguished Scholar in Energy Efficiency. Dr. Modera joined the WCEC from Carrier Corp., where he was a Vice-President, and from Lawrence Berkeley National Laboratory (LBNL). While at LBNL, Dr. Modera developed an aerosol-based duct sealing process, and he subsequently established Aeroseal, Inc., which was acquired by Carrier in 2001. His broad experience in research, business, entrepreneurship, education, and regulatory environments propels the WCEC in its mission of partnering to advance energy-efficient cooling systems.

Curtis M. Rocca III, Managing Partner, DCA Partners
Curtis M. Rocca is Managing Partner of DCA Partners, an investment banking and private equity firm. In his career, he has held a number of top executive management positions with public and private companies, including serving as President, CEO and Chairman of the Board of Bio-Dental Technologies Corp. (NASDAQ: BDTC) from 1990 - 1997. Throughout his career, Mr. Rocca has served as a Senior Advisor and Board Member to a number of public and private organizations, including service as Chairman of the Compensation Committee as well as an Audit Committee Financial Expert for public companies under Sarbanes-Oxley.

Michael Siminovitch, Ph.D., Director,
California Lighting Technology Center

Michael Siminovitch is the Director of the California Lighting Technology Center and a professor in the UC Davis Design Program. Dr. Siminovitch's work entails research and development in new residential and commercial lighting technologies. He works with manufacturers, utilities and state agencies to test and demonstrate next-generation lighting systems. Dr. Siminovitch has developed many successful lighting products, such as the Berkeley Lamp, which saves three-quarters of the wattage used by traditional lamps. He has also developed an innovative fluorescent down lighting system for commercial and residential spaces, high performance torchiere, high efficiency sulfur lamp, and fiber optic illuminators.

Gary Simon, President and CEO, Acumentrics Corporation
Gary Simon is President and CEO of Acumentrics Corporation, a leading developer of solid oxide fuel cell systems and rugged power electronics. Prior to Acumentrics, Mr. Simon was Senior VP of Corporate Strategy and Business Development at Northeast Utilities, where he had a major role in more than $2.5 billion of transactions, was the head of corporate venture investing, and was a member of the senior management committee. Previously, he was Senior Director and head of the Global Power Practice for Cambridge Energy Research Associates, and was VP of Sales and Marketing for El Paso Natural Gas Company. Mr. Simon also serves as President of Sigma Energy Group, a clean technology investment and advisory firm, and is a board member of Capstone Turbine, SmartPower, and the Sacramento Area Regional Technology Alliance, serving as co-chair of CleanStart, an accelerator for clean tech companies.

David Springer, Principal, Davis Energy Group
David Springer is a Founding Principal with Davis Energy Group, one of the nation's leading innovators in building and system energy efficiency. He leads western program activities for the Consortium for Advanced Residential Buildings, a Department of Energy Building America program partner. An active member of ASHRAE, he holds five patents and has authored 18 published papers on energy topics. A 1973 UC Davis graduate in Biological Science, he currently serves on the Board of Advisors for the UC Davis Mechanical and Aeronautical Engineering Department.

Margaret Wong, President and CEO, McWong Environmental and Energy Group
Margaret Wong is President and CEO of McWong Environmental and Energy Group, which specializes in the export of environmental and energy related technology and equipment for wastewater treatment projects in China. In addition, she founded and is CEO of McWong International, Inc./Pacific Lighting & Electrical, an OEM of HID and fluorescent ballasts for many of the world's leading lighting companies. In 1984 Ms. Wong founded McWong International, which has become one of the West Coast's most successful China trade companies. She was named Entrepreneur of the Year by Inc. Magazine, and received a Vanguard Award for International Trade from Coopers & Lybrand.

 

News

Octus, University of California Execute Exclusive Worldwide License
MarketWire (September 1, 2009)
Octus announced an exclusive worldwide license with the University of California for Wickool, a passive evaporative cooling technology for commercial rooftop HVAC units. "The Western Cooling Efficiency Center (WCEC) is very pleased Octus has licensed Wickool from UC Davis," said Mark Modera, director of the WCEC and a Sempra Energy Distinguished Scholar in Energy Efficiency. "We believe Octus will expeditiously move the technology into the marketplace."
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Octus Partners with University of California Smart Energy Research Centers

MarketWire (August 20, 2009)
Octus announced its affiliation with tthe California Lighting Technology Center (CLTC) and the Western Cooling Efficiency Center (WCEC). As an affiliate member, Octus will collaborate with CLTC and WCEC to develop and deploy the Octus Smart Energy Platform (OctusSEP), focused on commercializing innovative and highly efficient lighting and cooling products and systems.
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Octus Energy Adds Two Energy Industry Executives

MarketWire (July 9, 2009)
Octus announced the addition of Tobin J.M. Richardson as Senior Advisor, Energy Markets, and Siva Gunda as Senior Engineer, Smart Energy Solutions. "Smart energy is a dynamic space, and Tobin and Siva are dynamic energy industry executives," said Chris Soderquist, Octus CEO. "They bring a wealth of relevant, seasoned and contemporary experience and relationships to Octus that we believe will catalyze commercialization of OctusSEP and spring innovation within the company."
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Octus Energy Announces the Octus Smart Energy Alliance

MarketWire (June 25, 2009)
The Smart Energy Alliance enables Octus and its partners to collaboratively deploy energy efficiency and demand response solutions, leveraging the Octus Smart Energy Platform (OctusSEP), to generate immediate energy savings for commercial, industrial and public sector organizations.
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Octus Energy Partners With California Lighting Technology Center
in Support of the "California Smart Lighting Initiative"

MarketWire (June 16, 2009)
"Octus Energy's comprehensive approach to energy efficiency - including system design, project financing, automated controls and energy management - is what the industry needs," said Michael Siminovitch, Director, California Lighting Technology Center. "We look forward to helping the company fuse and catalyze OctusSEP with the California Smart Lighting Initiative.
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SmallCapVoice.com Audio Interview Featuring Octus Energy CEO

BusinessWire (June 10, 2009)
"We believe Octus has built a solid foundation for tremendous growth, and concurrently we are pleased to have the opportunity to share our developments with shareholders and the potential new investor base provided by SmallCapVoice.com," said Octus CEO Chris Soderquist.
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Octus Energy Announces the Octus Smart Energy Platform

MarketWire (June 2, 2009)
Octus announced the OctusSEP (Smart Energy Platform), a turnkey energy savings and demand response management system.
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Octus Initiates Streamlined Energy Efficiency Stimulus Program for Cities and Counties

MarketWire (May 21, 2009)
Octus today announced the launch of EECBG: $1-to-$3, an innovative solution to help cities and counties maximize the immediate benefit of Energy Efficiency and Conservation Block Grant (EECBG) funding. Octus's EECBG: $1-to-$3 is designed to optimize the participation of cities and counties in their deployment of $3.2 billion in EECBG funds, as part of $16.8 billion allocated under ARRA for Energy Efficiency and Renewable Energy programs.
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UC Davis's Energy Efficiency Center Makes Conservation Sexy
Fast Company (May 1, 2009)
The United States generates more energy than any other country in the world -- and wastes more than half of it. Efficiency, it turns out, can be a rich resource ... WicKool is a retrofit device that improves the performance of rooftop air conditioners up to 5% by recycling condensation. Wic-Kool is considered one of the standout ideas developed at Davis so far; within five months of the first napkin sketch, Wal-Mart was trying it out at a Sacramento store.
 

 


Eleven Cool Names and Concepts to Watch in Air Conditioning

Greentech Media (March 31, 2009)
Air conditioning. You only think it's boring. It's one of the big issues in global warming. Here are some companies and concepts to keep your eye on ... #2, Octus Energy: The company is trying to commercialize a technology out of UC Davis called WicKool that collects the condensate (i.e., water drops) extracted from the cool air flows created by an air conditioner and uses that to pre-cool incoming air.
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