DETROIT — The waste-to-energy products and services provider Cirque Energy Inc. (OTC: EWRL) says it has a new $5 million stock purchase agreement with Kodiak Capital Group LLC, an institutional investor based in Newport Beach, Calif.
Cirque officials say the company has agreed to file a registration statement with the United States Securities and Exchange Commission covering the shares that may be issued to Kodiak under the agreement.
After the SEC has declared the registration statement effective, Cirque will have the right over a period of one year to sell up to $5 million of common stock under the terms of the agreement.
Cirque says any proceeds from the transaction will be used to develop and commercialize further its waste gasification unit, developed with Northrop Grumman Corp. Included are the construction and installation of a previously announced project in Midland, Texas, called Midland Biomass Power Station LLC.
Cirque says it expects this and other projects to begin generating
revenue in early 2015.
Cirque will also use some of the proceeds, if any, to retire more expensive, short-term debt obligations and to explore acquisitions that will add to revenue and profit.
Cirque Energy says its gasification unit can turn any carbon-based waste stream, including municipal solid waste and biomass, of 2 to 10 tons per day into clean and efficient heat and power, from 200 to 2,500 kilowatts. Target markets include utilities, manufacturers and institutions. More at www.cirque-energy.com.
More about Kodiak Capital Group at www.kodiakfunds.com.