OneRoof Energy Updates Financing Status

SAN DIEGO, Nov. 24, 2014 /CNW/ -- OneRoof Energy Group, Inc.  (TSXV:ON) announced today that Hanwha Holdings (USA), Inc. has notified the Company that it will not provide its additional portion of the funding under the combined $16.7 million working capital line of credit and project line of credit, which were announced on October 3, 2014. Black Coral Capital, LLC has notified the Company that it remains committed to funding its portion of the working capital line of credit and project line of credit.

The Company and Black Coral have entered into a non-binding term sheet designed to provide the Company with an additional $15 million of capital from Black Coral and other investors in the form of secured convertible promissory notes.  The convertible notes would be secured on the Company's assets on substantially similar terms as the existing working capital line of credit and would be convertible into the Company's common shares at a 20% discount to the market price as of the date the transaction is approved by the TSX Exchange Venture (TSXV).  The convertible notes are anticipated to bear interest at up to 10% per annum and to mature, if not earlier converted into common shares, on the 12-month anniversary of their initial issuance. At the closing of the convertible notes financing, it is contemplated that Black Coral would exchange its outstanding working capital line of credit notes, due December 31, 2014, for convertible notes with the later maturity date.  The convertible notes financing described in the Term Sheet is non-binding and subject to the preparation of mutually-acceptable documentation, TSXV approval and other conditions precedent. 

"We are pleased to be moving from the short-term debt financing completed in October to a longer-term equity-based funding structure," stated David Field, President and Chief Executive Officer. "As an original investor in the Company's lease portfolio, as well as corporate equity, Black Coral continues to be a strong supporter of OneRoof Energy."

About OneRoof Energy
OneRoof Energy Group, operating through its wholly-owned subsidiary, OneRoof Energy,  is a complete solar services provider offering homeowners everything from traditional and lease financing, PPAs, solar system design and installation project management to ongoing system monitoring and maintenance services. Utilizing its technology-rich, solar leasing fulfillment platform, OneRoof Energy is partnering with traditional energy retailers and home services companies of all sizes to offer residential customers affordable, renewable energy choices.   With its unique end-to-end energy solution, the Company has created multiple touch points to offer cost-saving energy products and services that create a seamless experience for the homeowner while fulfilling their unique energy needs.  Currently, OneRoof Energy serves residential customers in five states including Arizona, California, Hawaii, Massachusetts and New York with plans for additional expansion. For more information, visit www.oneroofenergy.com. 

Caution Regarding Forward-Looking Information
Certain statements contained in this document, including those that express management's expectations or estimates regarding OneRoof Energy Group's and OneRoof Energy's future performance, are "forward-looking information" within the meaning of applicable securities laws. Forward-looking information is necessarily based on a certain number of estimates and assumptions, which while considered plausible by the management when they are made, are inherently subject to significant commercial, economic and competitive risks and uncertainties. We advise investors not to rely unduly on forward-looking information. The Company further declines any intention or obligation to publicly update this forward-looking information, whether due to new information, or future or other events, unless required by applicable law.

Neither the TSX Venture Exchange nor its regulation service provider (as these terms are defined in policies of the TSX Venture Exchange) bears responsibility for the adequacy or accuracy of this press release.

Investor Relations Contact:
Dan Halvorson
Executive Vice President & CFO
OneRoof Energy Group, Inc.
858-926- 7660 (Direct)
[email protected]

Karen Fisher
Vice President, Investor Relations & Compliance
OneRoof Energy Group, Inc.
858-926-7541 (Direct)
[email protected]

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SOURCE OneRoof Energy Group, Inc.