DayStar
Successfully Completes $5 Million Private Placement
Financing and Conversion of Senior Convertible Note
Halfmoon,
NY, February 20, 2007 –
DayStar Technologies, Inc. (NASDAQ: DSTI), a developer
and manufacturer of innovative CIGS Photovoltaic Foil™
products, today announced that it has successfully
completed the issuance of new securities in connection
with its previously announced restructuring of an
outstanding convertible note and a private placement of
common stock.
Specifically, the
Company closed a previously announced round of financing
with several new investors, selling 2,500,000 shares of
common stock at a price of $2.00 per share, providing
DayStar $5,000,000 in new funding. In connection with
this closing, the Company converted the principal and
interest on an outstanding convertible note into
3,050,203 shares of common stock. Upon this conversion,
the Class B Warrant and all the existing debt covenants
have been terminated.
In addition, DayStar has
issued to the original note holder a Class A Warrant to
purchase 317,394 shares of common stock at a price of
$2.00 per share. The issuance of this warrant was
required as part of the agreement transferring the note
from the original note holder to a new buyer effective
January 19, 2007.
About
DayStar Technologies, Inc.
DayStar Technologies,
Inc. is an emerging leader in low cost, high efficiency
Photovoltaic Foil™ that
converts sunlight into energy. The Company manufactures
CIGS solar cells, which are deposited on flexible metal
foils using production processes adapted from computer
component manufacturing. As an alternative to
wafer-silicon solar cells, DayStar believes the unique
combination of its CIGS solar cell design coupled with
proprietary manufacturing processes on flexible metal
substrates could substantially lower costs and remove
deployment barriers currently limiting large adoption of
solar energy. For more information on the Company,
please visit
www.daystartech.com.
About InfusionCapital
InfusionCapital provides a
uniquely integrated approach to capital formation. They
have the experience and expertise to guide clients
through complex capital formation processes. They
leverage their years of investment banking experience on
Wall Street, and their long term relationships with
leading portfolio management firms, key investment
managers, and national brokerages to help clients make
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www.infusioncapital.com.
Safe Harbor Statement
This news release contains
"forward-looking statements" that are made pursuant to
the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. "Forward-looking
statements" describe future expectations, plans,
results, or strategies and are generally preceded by
words such as "future, " "plan" or "planned, " "will" or
"should," "expected," "anticipates," "draft,"
"eventually" or "projected." You are cautioned that such
statements, including statements concerning the
Company’s beliefs regarding its ability to meet its
financial needs, are subject to a multitude of risks and
uncertainties that could cause future circumstances,
events, or results to differ materially from those
projected in the forward-looking statements, including
risks that our products may not achieve customer
acceptance or that they will not perform as expected,
and other risks identified in our annual report on Form
10-KSB and other filings with the SEC. You should
consider these factors in evaluating the forward-looking
statements included herein, and not place undue reliance
on such statements. The forward-looking statements are
made as of the date hereof and DayStar Technologies Inc.
undertakes no obligation to update such statements.
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For more information,
contact Gina Andrews, Communications
407-566-1010 or by email at
gina@InfusionCapital.com.
