MONTRAL, Oct. 15, 2020 (GLOBE NEWSWIRE) -- Elixxer Ltd. (TSX-V: ELXR) (OTC-QB: ELIXF) (FRA: 2LQA) (“ Elixxer ” or (the “ Company ) is pleased to announce that it has closed its previously announced private placement with a strategic investor. Pursuant to the non-brokered private placement, the Company issued 26,666,666 units of the Company (the “ Units ”) at a price of CAD$0.015 per Unit for gross proceeds of $400,000. Each Unit consists of one common share of the Company and one common share purchase warrant. Each warrant is exercisable for a period of 60 months from the date of issuance at an exercise price of CAD$0.05 each.
No commission or finder’s fee has been paid in connection with the private placement. The Units have been issued pursuant to an exemption from the prospectus requirements of applicable securities legislation, and all securities are subject to a hold period of four months and one day from the date of issuance.
The proceeds of the private placement will be used by the Company for general working capital purposes and to pursue future investments. It is anticipated that no payments from the proceeds will be made to related parties of the Company, and the proceeds will not primarily be used to pay management fees of for investor relations activities.