NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. NEWSWIRE SERVICES

TORONTO, Feb. 14, 2022 (GLOBE NEWSWIRE) -- AmmPower Corp. (CSE: AMMP) (OTCQB: AMMPF) (FSE: 601A(the “Company” or “AmmPower”) is pleased to announce that it has entered into a securities purchase agreement with a single institutional investor for a private placement of its common shares (“Common Shares”) (or Common Share equivalents), and warrants to purchase Common Shares (“Warrants”), for gross proceeds of approximately CAD$3 million (the “Private Placement”). Pursuant to the Private Placement, the Company will issue 7,142,858 Common Shares (or Common Share equivalents), and Warrants to purchase up to an aggregate of 7,142,858 Common Shares, at a purchase price of CAD$0.42 per Common Share and associated Warrant. Each Warrant will entitle the holder to purchase one Common Share at an exercise price of CAD$0.52 for a period of five years following the issuance date.

H.C. Wainwright & Co. is acting as the exclusive placement agent for the Private Placement.

The net proceeds of the Private Placement will be used by the Company for research and product development activities and for general working capital purposes. No securities were offered or sold to Canadian residents in connection with the Private Placement. The Private Placement is expected to close on or about February 16, 2022, subject to satisfaction of customary closing conditions.

This news release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in Canada in connection with the Private Placement.