Ambient Closes $2.5 Million Private Placement. Company Remains Focused on Enabling Smart Grid Efficiencies

Ambient
Closes $2.5 Million Private Placement
Friday November 2, 8:30 am ET
Company Remains Focused on Enabling Smart Grid Efficiencies


BOSTON--(BUSINESS WIRE)--Ambient Corporation (OTCBB: ABTG - News), a leader in Broadband over Power Lines (BPL) solutions, today announced that it has closed on an additional private placement of $2.5 million in principal amount of its newly issued 8% Senior Secured three-year Convertible Note from an institutional investor involved in Ambient’s previous close, increasing the total 2007 investment into Ambient to $10MM.

The investor in this round, Vicis Capital Master Fund (Vicis), was issued the Note scheduled to mature in October of 2010, and which requires no repayment of principal until the maturity date. Interest on the Note does not begin accruing until July 2008; with first quarterly interest payment due in September 2008.

Commenting on the raise, John J. Joyce, President and CEO of Ambient, stated, “Ambient is pleased to have the backing of an institutional investor who shares, and supports, Ambient’s long-term commercial vision. This additional infusion of capital allows Ambient to continue with our initiatives, and reach important milestones that are intended to mark the next phase of Ambient’s growth.”

Ambient is focused on enabling energy efficiency using proprietary BPL technology, which offers electric utilities a unique real-time view of the electrical grid distribution system and enables energy saving utility applications.

Shad Stastney, a partner with Vicis Capital, LLC, the investment manager for Vicis Capital Master Fund, said of the investment, “This latest investment in Ambient by Vicis further demonstrates our belief in the management of Ambient and the future for Ambient’s technology. Our overall interest in Ambient and BPL technology is the potential it has to dramatically improve the efficiency with which utilities serve their customers and reduce their environmental footprint. We believe that Ambient is in a strong position to help with implementing solid solutions to every day issues faced by utilities.”