Southridge Partners II Enters into $10 Million Equity Purchase Agreement with Neah Power for Fuel Cell-Based Renewable Energy Solutions
RIDGEFIELD, Conn., April 18, 2011 /PRNewswire/ -- Stephen Hicks, Managing Member of Southridge, LLC ("Southridge"), announced today that Southridge Partners II LP, an institutional investor, has entered into a $10 million equity purchase agreement with Neah Power Systems, Inc. (OTCQB: NPWZ), the company that is developing portable fuel cell-based renewable energy solutions ("Neah Power").
"We are excited to work with Neah Power as they pioneer advancements in fuel cell technology and deploy these products to very enthusiastic customers," said Mr. Hicks. "Southridge is committed to working with Neah Power as they continue to develop and market innovative solutions that will be in high demand in the renewable energy space."
Pursuant to the equity purchase agreement, Neah Power has the right, in its sole discretion, to sell to Southridge up to $10 million of its common stock over a 24-month period. The Company will have the right, but is not obligated, to sell stock to Southridge depending on certain conditions as set forth in the equity purchase agreement.
"We are pleased to have secured this equity agreement with Southridge, a forward thinking institutional investor that provides future flexibility in capital raising," said Chris D'Couto, President and Chief Executive Officer of Neah Power. He added, "We plan to use the proceeds as needed to support our sales and marketing efforts as we deploy systems that can out-compete existing conventional energy sources not only in terms of capability, but also affordability."
About Southridge, LLC
Southridge, LLC is a diversified financial holding company offering a wide range of products and services, including Fund Management, Investment Banking, Merchant Banking, Wealth Management and Business Solutions. For more information please visit www.southridgellc.com.
About Neah Power Systems, Inc.
Neah Power is developing long-lasting, efficient and safe power solutions for the military, transportation, and for portable electronics. Neah Power uses a unique, patented, silicon-based design for its micro fuel cells that enable higher power densities, lower cost and compact form-factors. The company's micro fuel cell system can run in aerobic and anaerobic modes. The Company believes that the technology can also be used for energy storage and generation, as well as powering various homeland security solutions. Further company information can be found at www.neahpower.com.
Certain of the statements contained herein may be, within the meaning of the federal securities laws, "forward-looking statements," which are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. See Neah Power System's Form 10-K for the fiscal year ended September 30, 2010, for a discussion of such risks, uncertainties and other factors. These forward-looking statements are based on management's expectations as of the date hereof, and the company does not undertake any responsibility to update any of these statements in the future.
SOURCE Southridge, LLC