Acorn Energy Redeems 10% Convertible Debentures
Acorn Energy, Inc., formerly Acorn Factor, Inc. today announced that it has elected to redeem on January 29, 2008 all of its then outstanding 10% Convertible Redeemable Subordinated Debentures due March 30, 2011. The redemption price is equal to the outstanding principal amount of the debentures, plus accrued and unpaid interest thereon to the redemption date. Payment of the redemption price will be made against presentation and surrender of the original debentures. The Company has sent notice of the redemption to each of the debenture holders.
Under the terms of the debentures, at any time prior to 5:00 p.m. Eastern Standard time on January 29, 2008, each debenture holder may convert up to 50% of the original principal amount of the debenture, less any amounts previously converted, into the Company's common stock, at a conversion price of $3.80 per share.
Debentures with an aggregate principal amount of approximately $6.5 million are outstanding, of which approximately $3.1 million is convertible.