Positron Corporation (POSC)

[in it to win it]

How much do you think 49% of the cyclo is worth? More to come on this in a moment.

Under the terms of the resolution, the City of Noblesville will provide Positron with certain incentives, in the amount of up to $6.7 million, for the acquisition of economic development property. The $6.7 million will come in the form of Economic Development Bonds, which utilizes tax increment from the project. The bonds will be issued in several series commensurate with Positron’s achievement of certain milestones in conjunction with the Company’s securing commitments of financing totaling $42 million. The City also agrees to support the project by pursuing the issuance of tax exempt Midwestern Disaster Area Bonds, which are non-recourse to the City, including but not limited to, supporting Positron in the designation of the Positron project site as a designated Midwestern Disaster Area by the Governor of Indiana. The Company may apply for access to as much as $40 million of Midwestern Disaster Area Bonds as early as July 19th.

In addition to the bonds financing, Positron intends to seek capital through the private offering of a minority equity stake, of up to 49% in its cyclotron project, which will be developed in Positron Isotope Corporation, an Indiana corporation and a wholly owned subsidiary of Positron.