PP Closed - Up we go TORONTO, Feb. 05, 2021 (GLOBE NEWSWIRE) -- SOLAR ALLIANCE ENERGY INC. (TSXV: SOLR) (the " Company " or " Solar Alliance ") is pleased to announce it has closed the book on a fully subscribed $5 million marketed private placement announced on January 29, 2021. The Company entered into an agreement with Echelon Wealth Partners Inc. as sole agent (the " Agent "), pursuant to which the Agent has agreed to a marketed private placement of up to 11,910,000 units of the Company (the " Units ") at a price of $0.42 per Unit (the “ Issue Price ”), for total gross proceeds of up to $5,002,200 (the " Offering "). The Offering has been fully subscribed and is expected to close on or about February 18, 2021.
Each Unit will consist of one common share (a “ Common Share ”) in the capital of the Company and one Common Share purchase warrant (a “ Warrant ”) of the Company. Each Warrant shall be exercisable to acquire one Common Share (a “ Warrant Share ”) at a price per Warrant Share of $0.60 for a period of 24 months from the closing date of the Offering.
The Company has granted the Agent an option to purchase up to an additional 15% of the Offering in Units, exercisable in whole or in part at any time up to 48 hours prior to the closing date.
The net proceeds from the sale of the Units will be used to fund advancement of the Company's solar product suite and for working capital purposes.
The closing of the Offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the final approval of the TSX Venture Exchange. The securities issuable under the Offering will be subject to a hold period in Canada expiring four months and one day from the closing date of the Offering.
In connection with the Offering, the Agent will receive a cash commission of 7.0% of the gross proceeds of the Offering and that number of non-transferable compensation options (the “ Compensation Options ”) as is equal to 7.0% of the aggregate number of Units sold under the Offering. Each Compensation Option is exercisable into one Common Share of the Company at the Issue Price for a period of 24 months from the closing date of the Offering.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.