Napier Acquires Control of Consolidated Ecoprogress and Water-Soluble Film Technology
Napier International Technologies Inc., Vancouver, B.C., has acquired a controlling interest in Consolidated Ecoprogress Technologies Inc. The acquisition has been initiated through the purchase by private placement of 2,376,471 common shares at an average cost of $0.295 per share and 1,776,471 share purchase warrants exercisable at an average price of $0.31 per share. Napier has also secured the first right of refusal to participate in up to 80% of any funding requirements by Ecoprogress for the next two years. As a result of the private placement, Napier owns 38% of the issued and outstanding shares of Ecoprogress or 41% on a fully diluted basis.
Ecoprogress has acquired exclusive licensing rights in Canada and is negotiating to acquire additional distribution rights for a technology involving the manufacturing of a water-soluble and biodegradable plastic-like film known as B-9(tm). The environmentally friendly B-9 film is a composite material that is impervious to water on one side like plastic yet is completely soluble and biodegradable when contacted by large volumes of water on the other side.
Ecoprogress and its licensor have used B-9 film to develop certain products for broad target markets such as disposable absorbent products, including diapers for infants, feminine hygiene products, diaper shields and underpads for incontinence, wound care dressings and disposable garments used in hospitals and dental offices. The technology can also be adapted through the use of certain resins that lend themselves to injection molding or thermoforming processes to produce bottles, containers or trays that maintain their integrity in contact with cold water but will completely dissolve if submerged in hot water.
Other packaging uses for the unique B-9 film include disposable container products such as containment pouches for urine and fecal matter by persons suffering incontinence during surgery or by the disabled; pill bottles, syringes and similar container products; packaging for cosmetic preparation; and replacement for virtually any plastic packaging.
Napier is hopeful that the market potential for such products is significant and has thus taken an aggressive approach to securing significant exposure for its shareholders to this innovative technology. The first product that has hit retail stores with considerable participation at the entry level is a broad line of feminine hygiene products marketed under the brand name "Simplicities." Developed by Ecoprogress as the first fully flushable and biodegradable sanitary napkin, the product was awarded in 1996 the highly acclaimed Environmental Choice Ecologo Certification. In order to achieve this status, the product underwent rigorous testing to ensure compliance with licensing criteria.
Ecoprogress has recently achieved significant exposure in western Canada with its Simplicities brand and is pursuing arrangements with national and eastern Canadian distribution outlets. Ecoprogress is currently testing a range of diapers in all sizes that will disintegrate in processors in hospitals or can be removed for biodegradation in composts or landfill sites for everyday use. The company says the value of annual sales of containment pouches in Canada exceeds $100 million.
For more information: Jason Cubitt or Greg Thomas, Napier, Tel: 604-801-6664; Kevin Crawford, Ecoprogress 604-738- 7011.