Xebec Adsorption Inc. Announces Closing of Intellectual Property Transactions
MONTREAL (QC), March 22, 2012 - Xebec Adsorption Inc. (TSX: XBC) ("Xebec"), a provider of biogas upgrading, natural gas and hydrogen purification solutions for the clean energy market, announced today that it has sold to Air Products its intellectual property ("IP") portfolio, including the patents and patent applications relating to its gas separation technology. In this transaction, Xebec has also transferred ownership of its research & development facilities in Burnaby and Surrey, as well as other equipment located in British Columbia. Pursuant to this transaction, Xebec has received aggregate gross proceeds of CAD$8,600,000. The transaction is also subject to payments for the achievement of certain conditions to be met within the next 24 months.
Xebec has also entered into a license agreement with Air Products allowing Xebec to continue to sell its systems, predominantly in the biogas, natural gas and associated gas purification markets.
Xebec will continue to maintain a sales and service office in the Vancouver area to support its customers on the West Coast.
"We are pleased with these transactions, since they resolve Xebec's working capital challenges and allow us to continue with our plan towards short term operational profitability and growth. The spin-off has substantially strengthened and transformed our balance sheet, and has had a significant impact on our cost structure. Going forward, Xebec is now well positioned to grow its business and bring innovative gas purification solutions and products to market," said Kurt Sorschak, President and CEO.
About Xebec Adsorption Inc.
Xebec Adsorption Inc. is a global provider of clean energy solutions to corporations and governments looking to reduce their carbon footprints. Xebec designs, engineers and manufactures innovative products that transform raw gases into marketable sources of clean energy. Xebec's strategy is focused on establishing leadership positions in markets where demand for biogas upgrading, natural gas dehydration and hydrogen purification is growing. Headquartered in Montreal (QC), Xebec is a global company with two state-of-the-art manufacturing facilities in Montreal and Shanghai, and a sales and distribution network in North America and Asia. Xebec trades on the TSX under the symbol XBC. For additional information on the company and its products and services, please visit the Xebec web site at www.xebecinc.com.
Caution Concerning Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking" statements within the meaning of applicable securities laws. This forward looking information includes, but is not limited to, the expectations and/or claims of management of Xebec with respect to information regarding the business, operations and financial condition of Xebec. Forward-looking information contained in this press release involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Xebec or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. This list is not exhaustive of the factors that may affect forward-looking information contained in this press release. When used in this press release, such statements use such words as "anticipate", "believe", "plan", "estimate", "expect", "intend", "may", "will" and other similar terminology. These statements reflect current expectations regarding future events and operating performance and speak only as of the date of this presentation. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements.
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President and CEO
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