CVR Medical Corp. Closes Private Placement
VANCOUVER, BC / May 12, 2022 / CVR Medical Corp. (CVM.V) (TSXV: CVM) (OTCQB: CRRVF) ("CVR Medical" or the "Company" or "we") a Canadian listed and US based healthcare company in the medical device market is pleased to announce that the non-brokered private placement (the "Private Placement") announced on April 12, 2022 closed before market open on May 6, 2022.
The Private Placement consisted of 2,005,334 units at a price CAD$0.03 per unit (each, a "Unit") for gross proceeds of CAD$60,160, as a result of the TSX Venture Exchange's (the "Exchange") acceptance of the Company's application for a discretionary waiver of the CAD$0.05 minimum pricing requirement. Pursuant to the Private Placement, each Unit consists of one common share (each, a "Share") of the Company and one transferable common share purchase warrant (each, a "Warrant") exercisable to acquire an additional Share of the Company for a term of five years from issuance at a price of CAD$0.05 per Share. The proceeds from the Private Placement will be used for accounting and audit costs and related filing fees and expenses to maintain the Company's filing and reporting obligations.
The Shares and Warrants are subject to a four month hold period expiring September 7, 2022 under applicable securities laws in Canada and the rules of the Exchange. The Private Placement remains subject to final Exchange approval.
No finder's fees were paid in connection with the Private Placement.
A director and senior officer of the Company acquired a total of 2,005,334 Units of the Private Placement (the "Insider Participation"). The Insider Participation is exempt from the valuation and minority shareholder approval requirements of Multilateral Instrument 61-101 Protection of Minority Securityholders in Special Transactions ("MI 61-101") by virtue of the exemptions contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101 based on that the fair market value of such Insider Participation does not exceed 25% of the Company's market capitalization.
A portion of the proceeds from the Private Placement are being used to complete the 2021 company audit. The financials for 2021 have been submitted to the auditors and we anticipate the audits completion shortly.
About CVR Medical
CVR Medical Corp. is a healthcare company that operates in the medical device industry focused on the commercialization of its disruptive, proprietary Carotid Stenotic Scan device ("CSS"). The CSS is a diagnostic tool that encompasses subsonic, infrasonic, and low frequency sound wave analysis technology. The CSS is a patented device designed to detect and measure carotid arterial stenosis. CVR Medical's