Victoria-based Streetlight Intelligence Inc. (TSX-V:SLQ) has received an initial $500,000 strategic investment from Hydro Ottawa, a power utility providing electricity to the nation's capital.
As part of the agreement, Hydro Ottawa has acquired the option to acquire up to five million shares of Streetlight at an exercise price of $0.11 per share exercisable on or before August 19.
If the purchase option is exercised, Streetlight will receive a further $500,000 for a total investment of $1 million.
The purchase option includes the right where Hydro Ottawa may require Streetlight to repurchase and cancel the purchase option for $500,000 plus 10%.
Hydro Ottawa and Streetlight are also in discussions regarding a broader strategic investment that could include a further financial investment, the establishment of a distribution agreement between Streetlight and Hydro Ottawa for the province of Ontario and a potential purchase of Streetlight's products and services.
Streetlight's share price range during the past week: between $0.125 and $0.20; 52-week high: $0.32; 52-week low: $0.05.