71 Investors Received Conditional Permanent Residency by Creating Jobs in Central California
CUPERTINO, CA, Sept. 04, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Aemetis, Inc. (NASDAQ: AMTX) (“Aemetis”), an advanced renewable fuels and biochemicals company, today announced the closing of its $35.5 million Phase I EB-5 Program, which was funded by 71 foreign investors.
The EB-5 Program is a U.S. Government program authorized by the Immigration and Naturalization Act designed to provide employment-based visa preferences for immigrant investors who deploy capital into U.S.-based projects that provide jobs for American workers. Aemetis closed its Phase I EB-5 Program with the issuance of 71 subordinated convertible promissory notes, raising $35.5 million of low interest investment funds used to create both direct and indirect jobs at its high grade alcohol and fuel ethanol plant in Keyes, California.
“The Aemetis plant EB-5 project is an excellent example of sound immigration policy that generated $35.5 million of new investment to create high quality manufacturing jobs in the Central Valley of California,” stated Eric McAfee, Chairman and CEO of Aemetis, Inc. “100% of the investors in our Phase I EB-5 funding have been fully vetted by the U.S. Department of Homeland Security and granted approval to receive conditional permanent residency, which could allow them become citizens after completing the remaining steps in the EB-5 process.”
On November 21, 2019, the EB-5 Program minimum investment increased from $500,000 to $900,000 per investor. Aemetis has launched the Phase II EB-5 offering with plans to issue $50.0 million in additional EB-5 notes, and received an approved Project Exemplar from the United States Citizenship and Immigration Services, demonstrating that about 2,000 jobs are expected to be created by Aemetis, allowing 200 investors the opportunity to participate the offering (10 jobs per investor).
Eight investors in the Phase II EB-5 offering have received National Interest Expedite (“NIE”) approval, which is granted to EB-5 projects that have strategic importance to the United States. The NIE approval allows investors to benefit from an approximately three-month application review process instead of the regular multi-year review process.
The Phase I EB-5 offering provided Aemetis with a 3% interest rate, subordinated funding instrument that matures four years from the date of funding, while providing automatic extensions for one year periods beyond the original note term while investor immigration approvals are pending. $35.0 million of the Phase I EB-5 offering proceeds were received during prior quarters and used to repay Third Eye Capital senior debt bridge funding.
Headquartered in Cupertino, California, Aemetis is an advanced renewable fuels and biochemicals company focused on the acquisition, development and commercialization of innovative technologies that replace traditional petroleum-based products by the conversion of ethanol and biodiesel plants into advanced biorefineries. Founded in 2006, Aemetis owns and operates a 65 million gallon per year ethanol production facility in California’s Central Valley near Modesto. Aemetis also owns and operates a 50 million gallon per year renewable chemical and advanced fuel production facility on the East Coast of India producing high quality distilled biodiesel and refined glycerin for customers in India and Europe. Aemetis is building a biogas anaerobic digester network and pipeline to convert dairy animal waste gas to Renewable Natural Gas (RNG), and is developing a plant to convert waste orchard wood into high grade cellulosic alcohol. Aemetis holds a portfolio of patents and related technology licenses for the production of renewable fuels and biochemicals. For additional information about Aemetis, please visit www.aemetis.com.
Safe Harbor Statement
This news release contains forward-looking statements, including statements regarding our assumptions, projections, expectations, targets, intentions or beliefs about future events or other statements that are not historical facts. Forward-looking statements in this news release include, without limitation, our ability to sell additional notes under our EB-5 note program and our ability to create the expected number of new jobs in connection with the use of proceeds from our EB-5 Program. Words or phrases such as “anticipates,” “may,” “will,” “should,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “showing signs,” “targets,” “view,” “will likely result,” “will continue” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are based on current assumptions and predictions and are subject to numerous risks and uncertainties. Actual results or events could differ materially from those set forth or implied by such forward-looking statements and related assumptions due to certain factors, including, without limitation, competition in the ethanol, biodiesel and other industries in which we operate, commodity market risks including those that may result from current weather conditions, financial market risks, customer adoption, counter-party risks, risks associated with changes to federal policy or regulation, and other risks detailed in our reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2019, our Quarterly Report on Form 10-Q for the quarters ended March 31, 2020 and June 30, 2020 and in our subsequent filings with the SEC. We are not obligated, and do not intend, to update any of these forward-looking statements at any time unless an update is required by applicable securities laws.