Ocean Power Enters US$10 Million Stock Purchase Agreement

Ocean Power Technologies (NASDAQ:OPTT), cleantech company focused on ocean energy solutions announced that it has entered a US$10 million common stock purchase agreement with Aspire Capital Fund. The agreement is scheduled to take place over 30 months for the purpose of building new energy efficient ocean products and development.

As quoted in the press release:

Key terms under the Purchase Agreement include:

• Ocean Power Technologies will control the timing and amount of any sales to Aspire Capital based on market price at the time of each sale;

• Aspire Capital has no right to require any sales by Ocean Power Technologies but is obligated to make purchases when the Company desires to sell shares of its common stock to Aspire Capital, in accordance with the terms of the Purchase Agreement;

• Ocean Power Technologies has the right to sell shares to Aspire for up to 125,000 shares of stock each trading day (a “regular purchase”) at the lower of either: (a) the lowest sale price of the Company’s common stock on that day; or (b) the arithmetic average of the three lowest closing sale prices during the ten consecutive trading days ending on the trading day immediately preceding that day;

• Ocean Power Technologies also has the right to sell shares to Aspire Capital at up to 30% to the trading volume of the shares for the next business day at a volume weighted average price (“VWAP”) at the lesser of the closing sale price or 97% of the next day’s VWAP.

Click here to read the full press release.