Excellent news
GreenSpace Brands arranges $4-million bought deal
2016-08-11 15:44 ET - News Release
Mr. Matthew von Teichman reports
GREENSPACE BRANDS INC. ANNOUNCES $4 MILLION BOUGHT DEAL PUBLIC OFFERING
GreenSpace Brands Inc. has entered into an agreement with Beacon Securities Ltd., on behalf of a syndicate of underwriters, to purchase, on a bought deal basis, 3.54 million common shares in the capital of the company at a price of $1.13 per offered share for total gross proceeds to the company of $4,000,200.
In addition, the company has granted to the underwriters an overallotment option exercisable, in whole or in part, in the sole discretion of the underwriters, to purchase, in respect of the offered shares, up to an additional number of offered shares equal to 15 per cent of the offered shares sold pursuant to the offering, at the issue price, at any time up to 30 days from the closing of the offering.
The closing of the offering is expected to occur on or about Sept. 2, 2016, and is subject to the completion of formal documentation and receipt of regulatory approval, including the approval of the TSX Venture Exchange. The net proceeds received by the company from the sale of the offered shares will be used for debt repayment, working capital and general corporate purposes.
The offered shares to be issued under the offering will be offered by way of a short form prospectus to be filed in each of the provinces of Canada (other than Quebec) and may be offered in the United States to qualified institutional buyers pursuant to exemptions from the registration requirements under Rule 144A of the U.S. Securities Act of 1933, as amended, in a manner that does not require the offered shares to be registered in the United States. The offered shares may be also sold in such other jurisdictions as the company and Beacon may agree. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States or in any other jurisdiction.