Viaspace, Inc. (VSPC)

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press release from stockioi:

VIASPACE Inc. (OTCBB: VSPC) - Wednesday's shares decreased 6.52% to $0.43 per share with a total of 414,508 shares traded. The company announced that it has closed a fixed price private placement with Cornell Capital Partners, LP. Under the terms of the financing Cornell invested $3.69 million to purchase 5,175,000 Class A Units and 600,000 Class B Units. Each Class A Unit entitles Cornell to 2.2609 shares of common stock and one warrant to purchase one share of common stock. Each Class B Unit entitles Cornell to one share of common stock and one warrant to purchase one share of common stock. This private placement replaces the convertible debenture currently in place with Cornell. Dr. Carl Kukkonen, VIASPACE's CEO, commented "We believe that a growing business like VIASPACE needs capital. We are pleased that we have received institutional support for our strategy and vision, and that we have eliminated debt from our balance sheet in favor of institutional ownership of our stock. Cornell's willingness to convert its debenture into a straight equity investment is a strong vote of confidence." The company and Cornell also cancelled several agreements relating to the previous debenture and canceled the Standby Equity Distribution Agreement (SEDA). VIASPACE expects to file a registration statement for the shares underlying the securities and warrants on Form S-3 in the next month. For a complete description of the terms of the financing, we refer you to the Company's Form 8-K filing made on March 13, 2007. The VIASPACE securities described in this release have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This announcement is neither an offer to sell nor a solicitation to buy any of these securities and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful.