UQM Technologies Inc (NYSEMKT:UQM) announced today that it has successfully managed to complete a debt financing arrangement which would provide it access to $5.3 million as funds. The $87 million market capped clean energy equipment manufacturer indicated that it had managed to convince institutional investors to pour in the secured investments.
Funds To Help In Expansion Into New Markets
The proceeds from this exercise is going to be used by the alternate energy equipment provider to scout for and attract more agile business partners, which would in turn allow the firm to expand into previously unexplored markets. Part of the funds is also expected to be used as working capital, while the firm explores new business opportunities to maximize return for its share holders.
Expressing his happiness at the quick conclusion of the new funding deal, UQM Technologies Inc (NYSEMKT:UQM) Chief Executive Officer and President has been quoted to have said that, “The progress we are making across a number of prospects may require funding beyond our current operating needs. Given the solid market conditions, we chose to go to the market now. We see this capital raise as an important strategic move to give us the financial flexibility to pursue these opportunities from the strongest position possible.”
Shaping Up To Go Global
Longmont based UQM Technologies Inc (NYSEMKT:UQM) has been compelled to seek additional funding from outside investors since it has seen its sales stagnate over the past quarters leading to mounting operational losses to the tune of $3.7 million for the past 12 months. This has forced the firm into a realization that it has to enter new and unchartered markets of China and India, in which it anticipates huge demand for its highly efficient and less power consuming electric generators and mechanical motors.