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VALENCIA, CA, Mar 21, 2006 (MARKET WIRE via COMTEX) -- ConectiSys Corporation , a developer of automatic meter reading technologies, announced today that it has entered into agreements for convertible debt financing in the amount of up to $1.27 million. The Company expects that if the full $1.27 million is funded, the net proceeds will be sufficient for the Company to meet its cash requirements over approximately the next 12 months.
Robert Spigno, the Company's President and Chief Executive Officer, stated that, " Securing this funding is an important element of our continued efforts to commercialize, further develop and generate revenues from our H-Net(TM) automatic meter reading products and technologies, and we believe that this financing will provide the necessary funds for these efforts over the coming year."
The Company's convertible debt financing agreements contemplate an initial installment of $370,000, which amount has been received by the Company, and nine equal additional monthly installments in the amount of $100,000 each for aggregate gross proceeds to the Company of $1.27 million. The subsequent monthly investments contemplated by the convertible debt financing agreements are terminable upon 30 days advance notice by either the Company or a majority-in-interest of the lenders.
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