Clean technology company Raser Technologies has closed $19 million in financing with Fletcher International that will help advance its business in the geothermal sector.

Raser sold $5 million of convertible preferred stock and an additional $14 million in certain investment rights in a transaction that closed on Wednesday.

The shares were sold to Fletcher International, an affiliate of Fletcher Asset Management.

Raser intends to use the money for its geothermal development program.

The financing is part of a broader strategic relationship between Raser and Fletcher, the former’s investment advisor and a strategic partner.

“Since becoming one of our largest investors in 2008, Fletcher has consistently supported our efforts, bringing substantial additional capital and valuable strategic support," said Nick Goodman, chief executive of Raser, adding that they are happy to expand the partnership.

The preferred shares of Raser’s stock were purchased for an aggregate price of $5 million. As a holder of Raser preferred stock, Fletcher is entitled to quarterly dividends payable in cash or shares of common stock, at an annual rate of 8 percent above the London Interbank Offered Rate, but no greater than 14 percent.

The preferred shares can be converted to common stock at a price of $5 per share and can be redeemed at a price of no less than $1.22 per share of common stock.

The $1.22 per share redemption price floor represents a 37 percent premium to the closing price of the Raser’s stock on Wednesday. Fletcher may make additional investments of up to $14 million in preferred stock.