Solar Wind Energy Tower, Inc. (OTCQB: SWET) (the "Company"), the inventor of large Solar Wind Downdraft Tower structures capable of producing abundant, inexpensive electricity, announced today that it has entered into a financing agreement with JDF Capital Inc. under which JDF Capital Inc. will provide up to $1,585,000 through a combination of convertible debt and additional equity via potential warrant exercises.
The initial round of funding in the amount of $555,000 was completed on June 9, 2014. The second round of funding in the amount of $330,000 is due within 15 days of the effectiveness of a registration statement, which must be filed within 60 days from the closing date. Also included in the financing are two warrants with an exercise price of $0.04 and $0.05, expiring in 3 months and 5 months, respectively, after the registration statement becomes effective and which can each raise the Company an additional $350,000.
JDF Capital President John Fierro commented, "We have invested in many public companies and we always look for seasoned management. In the case with SWET we found not only the management team in place but a company that is positioned to transition and capitalize from all of their research and development to a full development company."
Solar Wind Energy Tower CEO Ron Pickett commented on the transaction, "On our conference call last December, we discussed how the Company was using short term notes that converted to shares from multiple lenders to finance operations and that the Company did not believe these lenders were investing in the long term interests of the Company. After establishing an initial relationship with the Company last October and following our own due diligence process, we found JDF Capital Inc. to be an investor that we believe is more interested in the long-term success of the Company and as such, are pleased to have selected them to provide the capital necessary to move forward with our operations.
The funds will be used not only towards operating capital, but also towards retiring existing notes. We look forward to working with JDF Capital Inc. in these efforts, and to together achieving our long-term growth prospects."
Pickett added, "All one has to do is look at our financials and realize that SWET has incurred approximately $10 million in costs achieving our patents, proprietary information, and securing our first domestic site with entitlements, yet our market cap today is less than $10 million. We believe this represents a great opportunity to invest for those who believe in the Company and our plans for growth."
For more details on this transaction, please review the Company's 8K filed with the Securities & Exchange Commission on Friday, June 13th.
About JDF Capital Inc.
JDF Capital Inc. is a privately held investment firm established in 2009 that specializes in providing capital to emerging microcap and small cap companies. JDF Capital Inc. is widely recognized as a global leader in small and lower-middle market structured financings. JDF Capital Inc. is currently invested in a portfolio of companies listed on NASDAQ, OTCBB, and AMEX/NYSE MKT. For more information please visit www.jdfcap.com.
About Solar Wind Energy Tower, Inc.
Founded in 2010, Solar Wind Energy Tower, Inc., and its wholly owned commercializing subsidiary, Solar Wind Energy, Inc., is the inventor of the patented Solar Wind Downdraft Tower, which uses state of the art technologies and construction systems to produce abundant, inexpensive electricity, 24 hours a day, 7 days a week, and the Energy Generation Calculator software which can calculate and predict energy production of a Tower given a site's local weather data. The Company secured the site for its first Tower project in the U.S. in the City of San Luis, Arizona which may be ready for operation as soon as 2018. Under the most recent design specifications, the first Tower in San Luis, Arizona has a design capacity on an hourly basis of up to 1,250 megawatt hours, gross. The Company is also focused on licensing its development know-how and establishing partnerships at home and abroad to propagate Tower development projects in return for licensing fees for territories, development fees during construction, and recurring royalty fees based on the actual kilowatt hours produced by the Tower. Solar Wind Energy has assembled a team of experienced business professionals, engineering and scientific consultants with the proven ability to bring this solution to market.
The Company's core objective and focus is to become a leading enabler of clean, efficient renewable energy to world communities, at a reasonable cost, without the destructive residuals of fossil fuels, while continuing to generate innovative technological solutions to meet tomorrow's electrical power needs. Solar Wind Energy has filed and been issued patents that the Company believes will further enhance this potentially revolutionary technology. Solar Wind Energy Tower, Inc., based in Annapolis, MD, is traded on the OTCQB under the symbol 'SWET'.
For more information visit http://www.solarwindenergytower.com, www.facebook.com/pages/Solar-Wind-Energy-Tower/ and www.twitter/SWETower.com.
Cautionary Note Regarding Forward-Looking Statements
Statements included in this release may constitute "forward-looking statements". Actual results may differ materially from those projected in forward-looking statements. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand and the Company's ability to obtain new contracts and accurately estimate revenues, if any, due to variability in size, scope and duration of projects, and internal issues in the sponsoring client. Further information on potential factors that could affect the Company's financial results, can be found in the Company's various filings with the Securities and Exchange Commission (SEC).
Solar Wind Energy, Inc.
1997 Annapolis Exchange Parkway Suite 300
Annapolis, Maryland 21401
SOURCE: Solar Wind Energy Tower, Inc.