APPLICATIONS
Acceleware Announces $2,925,000 Investment by NVIDIA
Acceleware has announced that it has signed an agreement to complete a non-brokered private placement of 4,500,000 units (each a "Unit") to NVIDIA Corporation at a price of $0.65 per Unit for aggregate gross proceeds of $2,925,000 (the "Offering"). The price per Unit represents a 20% discount from Market Price on January 11, 2007, which was reserved with the TSX Venture Exchange on January 12, 2007. Each Unit consists of one common share (a "Common Share") and one-half of one common share-purchase warrant (a "Warrant"). Each whole Warrant is exercisable into one Common Share at a price of $1.29 per Common Share for a period of 24 months from the issuance of the Warrants. The completion of the private placement is subject to TSX Venture Exchange approval.
The net proceeds from the Offering will be used for the marketing, sales, and ongoing development of acceleration products for electromagnetic simulation and seismic data processing markets, as well as capital equipment, facilities, and working capital.
"We're delighted to make this strategic investment in Acceleware. The investment reflects our ongoing commitment and enthusiasm toward the ecosystem of high performance computing based on GPU technologies," said Jeff Herbst, Vice President of Business Development at NVIDIA. "We have the highest regard for Acceleware and its management team, and believe they will quickly emerge as leaders in the GPU Computing revolution."
"We've been collaborating with NVIDIA for over two years on the deployment of GPUs to accelerate non-graphics software applications such as cell-phone design, seismic data processing, printed circuit board design, drug discovery, nanophotonic communications device design, reservoir simulation, lithography mask design, and others," said Sean Krakiwsky, CEO of Acceleware. "NVIDIA's investment in Acceleware is an endorsement of these efforts and provides us with significant additional funding to execute our business plan and to capitalize on the rapidly growing demand for GPU-based computing products."
