LAKE FOREST, Calif., Sept. 23, 2013 /PRNewswire/ -- Quantum Fuel Systems Technologies Worldwide, Inc. (Nasdaq-SMALL: QTWW), a global leader in natural gas storage systems, integration and vehicle system technologies, announced today that it used a portion of the proceeds from its recent financing transaction of $11.0 million in convertible notes to repay the entire outstanding principal and accrued interest balances associated with unsecured nonconvertible promissory bridge notes that originated in June and July 2012 (the "Bridge Debt"). The total amount paid in cash to retire the Bridge Debt was approximately $7.3 million, of which $0.2 million represented accrued interest.
The Bridge Notes were unsecured obligations of the Company and were subordinate in all respects to the Company's senior secured indebtedness. Interest had been accruing at a rate of 12% per year and was payable quarterly in arrears on October 1, January 1, April 1 and July 1. The Bridge Notes were scheduled to mature fifteen months following the dates of issuance beginning on September 22, 2013 but the Company had the right to prepay, in whole or in part, at any time without penalty.
"The replacement of the maturing Bridge Notes with the long-term 2% convertible notes that we recently announced has strengthened our financial position," stated Brad Timon, Chief Financial Officer of Quantum. Mr. Timon continued, "We are pleased that we were able to retire the Bridge Debt in a cost-effective manner."
About Quantum:Quantum Fuel Systems Technologies Worldwide, Inc. is a leader in the innovation, development and production of natural gas fuel storage systems and the integration of vehicle system technologies including engine and vehicle control systems and drivetrains. Quantum produces one of the most innovative, advanced, and light‐weight compressed natural gas storage tanks in the world and supplies these tanks, in addition to fully‐integrated natural gas storage systems, to truck and automotive OEMs and aftermarket and OEM truck integrators. Quantum provides low emission and fast‐to‐market solutions to support the integration and production of natural gas fuel and storage systems, hybrid, fuel cell, and specialty vehicles, as well as modular, transportable hydrogen refueling stations. Quantum is headquartered in Lake Forest, California, and has operations and affiliations in the United States, Canada, and India. Forward Looking Statements: This press release contains forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements included in this release, other than those that are historical statements of fact, are forward-looking statements and can generally be identified by words such as "may," "could," "will," "should," "assume," "expect," "anticipate," "plan," "intend," "believe," "predict," "estimate," "forecast," "outlook," "potential," or "continue," or the negative of these terms, and other comparable terminology. Various risks and other factors could cause actual results, and actual events that occur, to differ materially from those contemplated by the forward looking statements. The Company undertakes no obligation to update the information in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events.