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CALGARY, AB, Aug. 7, 2024 /CNW/ - CVW CleanTech (TSXV: CVW) (OTCQX: CVWFF) ("CVW CleanTech" or the "Company") announced today that effective today it is entering into a royalty investment with Northstar Clean Technologies Inc. (TSXV: ROOF) (OTCQB: ROOOF) ("Northstar") pursuant to which the Company has agreed to purchase a five-year $14 million second secured 10% convertible debenture of Northstar (the "Convertible Debenture"), which will be convertible into a revenue royalty on Northstar's next two asphalt shingle reprocessing facilities (the "Transaction"). Upon conversion of the Convertible Debenture, and pursuant to the terms of the royalty agreement, CVW CleanTech is entitled to receive recurring royalty payments based on revenues at Northstar's next two facilities, which will be no less than 12% of such revenues. In connection with the Transaction, CVW CleanTech has made an initial payment to Northstar in the amount of $1.5 million. The Transaction is expected to close on or around September 30, 2024.
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