Vu1 Announces Debt Financing, CEO Transition
SEATTLE, June 9, 2009 - Vu1 Corporation (OTCBB: VUOC), announced today that it has signed a non-binding term sheet for secured convertible debt financing with Full Spectrum Capital, LLC (Full Spectrum) and has received payment of an initial $500,000. The total amount of this debt financing will be determined by Full Spectrum, up to $7 million. Should Full Spectrum provide $3 million in financing, it may elect to fund a second round of debt financing to follow, in an amount determined by Full Spectrum, up to $15 million. Full Spectrum is a newly formed LLC that is managed by R. Gale Sellers, Vu1's Founder and President.
Vu1 also announced the resignation of CEO and Director David Grieger as part of the reorganization of the management team. At Mr. Grieger’s recommendation, the company is focusing on staffing key areas in executive management, engineering and technology to move toward commercialization. Sellers, who has been involved with the company in many aspects of engineering, manufacturing and financing since 2004, will take over as CEO.
Vu1 is in the process of finalizing renegotiated terms for its manufacturing facility in the Czech Republic operated by the company’s wholly owned subsidiary, Sendio s.r.o.
Vu1’s Electron Stimulated Luminescence™ (ESL™) is the cornerstone to the company’s development of a family of next generation energy-efficient light bulbs. Vu1’s bulbs will offer the full features of incandescent lights, such as instant on, true dim-ability, high light quality and color, all in an attractive bulb design but without the use of mercury -- a toxic chemical which is present in today’s current energy efficient option, Compact Florescent Light Bulbs (CFLs). A video demonstrating ESL technology is planned for release soon.
About Vu1 Corporation
Vu1 Corporation (OTCBB: VUOC) is dedicated to applying its new technology to produce energy efficient, environmentally-friendly lighting solutions worldwide. Vu1 is developing a new, energy efficient light bulb to provide the consumer market with the first affordable, non-toxic light bulb with features consumers are demanding and not receiving from existing products. More information about Vu1 is available at the company's website: www.Vu1.com
This news release is not an offer to sell or the solicitation of an offer to buy the securities discussed herein. These securities have not been registered under the Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (SEC) or an applicable exemption from the registration requirements. This news release is being issued pursuant to and in accordance with Rule 135c under the Securities Act of 1933, as amended.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release includes forward-looking statements including, but not limited to, the future commercial availability of our light bulb, timing for submission of our light bulb to certification and certification results, timing for bulb production, manufacturing capability of our facility, future interest of channel partners and distributors, our strategic planning and business development plans and the viability, pricing and acceptance of our products in the market. These forward-looking statements are subject to a number of risks and uncertainties that may cause actual results to differ materially from those described in the forward-looking statements. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend", "scheduled" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the company's ability to control. These risks include, but are not limited to, our ability to raise capital to fund ongoing development and operations, completing our manufacturing capability, the price and availability of raw materials for manufacturing, timing and results of product development and certification of our product, unanticipated costs and delays in product development and manufacturing, our ability to hire and retain key management and technical personnel, interest of channel partners, competitive factors, and our ability to manage growth, as well as the risks and other factors set forth in our periodic filings with the U.S. Securities and Exchange Commission (including our Form 10-K for the year ended December 31, 2007 and our other periodic reports as filed from time to time).
