Lighting Science Receives $20 Million in Equity Investments and Commitments by its Major Shareholders

  Lighting Science Receives $20 Million in Equity Investments and Commitments
  by its Major Shareholders

Business Wire

SATELLITE BEACH, Fla. -- September 16, 2013

Lighting Science Group Corporation (OTCBB: LSCG), one of the world's premier
LED lighting companies, announced today that it has closed a $20 million
preferred stock financing led by affiliates of Pegasus Capital Advisors, L.P.
(“Pegasus”) with participation from Riverwood Capital Partners, L.P.
(“Riverwood”), the Company’s two largest shareholders. The Company received
$17.4 million of the funds at the closing of the financing and has received a
commitment to fund the balance of $2.6 million. The funding will be used to
finance the Company's growth and solidify its leadership position in the LED
lighting marketplace, with a strong focus on the Company's technology
platforms and product innovations.

The Company issued an aggregate of 17,394 shares of its newly designated
senior Series J Convertible Preferred Stock (the “Series J Preferred Stock”)
at a price of $1,000 per share. The Company issued 15,000 shares of Series J
Preferred Stock to affiliates of Pegasus and 2,394 shares of Series J
Preferred Stock to an affiliate of Riverwood.

“We are extremely excited about closing this round of financing as it will
provide capital to help fuel the Company’s transformation and growth agenda,”
said Jeremy Cage, CEO of Lighting Science. “And we are proud to have strategic
capital partners like Pegasus and Riverwood who, through continued financial
support, have demonstrated their conviction in Lighting Science’s ability to
execute upon its long-term strategic plan.”

Additionally, the Company’s Board of Directors has appointed Philip Handy, who
has been a member of the Board since May 2013, to serve as Chairman of the
Board. He succeeds Nic Brathwaite, who served as Chairman of the Board since
June 2012 and who will continue to serve as a member of the Board of
Directors. Mr. Handy has served as the Chief Executive Officer of Strategic
Industries, a worldwide diversified service and manufacturing company, since
2001. He has held leadership positions with Equity Group Corporate
Investments, Chart House, Donaldson, Lufkin and Jenrette and Fidelity
Management and Research. Mr. Handy has also served as a director of public
companies Anixter International, Inc., Rewards Network, Inc. and Owens Corning
during the past five years. Mr. Handy was twice appointed by President George
W. Bush to the National Board of Education Sciences and served as its Vice
Chairman from 2002 to 2010.

“We are grateful to Nic for his significant contributions to the Company as
our Chairman for the past 15 months,” added Cage, “and I am proud to welcome
Phil as the new Chairman of the Lighting Science Board. He brings a wealth of
experience to this position and I am confident that he will help us reach our
goals.”

About Lighting Science

Lighting Science Group Corporation (OTCBB: LSCG) is a global leader in
lighting solutions that are environmentally-friendlier and more
energy-efficient than traditional lighting products. Lighting Science is
committed to UNLEASH THE SCIENCE OF LIGHT TO MAKE PEOPLE AND OUR PLANET LOOK,
FEEL AND HEAL BETTER with award-winning, innovative LED lamps and lighting
fixtures. Find out more at: http://www.lsgc.com or join us on Twitter,
Facebook, LinkedIn and the Lighting Science Blog.

About Pegasus Capital Advisors, L.P.

Pegasus Capital Advisors, L.P. is a private equity fund manager that has over
15 years of experience providing creative capital solutions to companies
impacted by global trends in resource scarcity. By creating a close working
partnership between their experienced investment professionals and a seasoned
team of Operating Partners, Pegasus is able to create substantial growth
within its portfolio. Pegasus manages approximately $2.9 billion in assets.

About Riverwood Capital

Riverwood Capital is a globally-focused private equity firm that invests in
high-growth businesses in the technology and services industries, across a
variety of verticals and geographies. Riverwood has offices in Menlo Park, CA
and New York, NY and currently has more than 20 investments in North America,
Latin America and Asia. Please visit www.riverwoodcapital.com.

Forward Looking Statements

Certain statements in this press release may constitute "forward-looking
statements" made under the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. These statements include, but are not limited
to, statements concerning the anticipated growth and performance of Lighting
Science Group and its products and/or use terminology such as "achieve,"
"anticipate," "believe," "estimate," "expect," "goal," "intend," "plan,"
"project," "seek," "target," "will," “agenda” and variations of such words and
similar expressions. Such statements reflect the current view of Lighting
Science Group with respect to future events and are subject to certain risks,
uncertainties and assumptions. Known and unknown risks, uncertainties and
other factors could cause actual results to differ materially from those
contemplated by these statements. In evaluating these statements, you should
carefully review the risk factors detailed under "Risk Factors" in our most
recent filings with the Securities and Exchange Commission that may cause our
actual results to differ materially from these forward-looking statements.

Contact:

Lighting Science®
Samantha Wood McLarty, Director of Marketing
321-610-9608
Samantha.McLarty@lsgc.com
 
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