Tantalus Systems Holding Inc. Announces $10 Million Bought Deal Financing
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BURNABY, BC, May 8, 2024 /CNW/ - Tantalus Systems Holding Inc. (TSX:GRID) ("Tantalus" or the "Company") is pleased to announce that it has entered into an agreement with a syndicate of investment dealers led by Cormark Securities Inc. and Canaccord Genuity Corp. (collectively, the "Underwriters") pursuant to which the Underwriters have agreed to purchase, on a bought deal private placement basis, 6,250,000 common shares (the "Common Shares") from the treasury of the Company, at a price of C$1.60 per Common Share for total gross proceeds of approximately C$10 million (the "Offering").
The Offering will consist of 4,937,500 Common Shares issued pursuant to the listed issuer financing exemption available under Part 5A of National Instrument 45-106 – Prospectus Exemptions ("NI 45-106") in each of the provinces of Canada, other than Quebec, for maximum gross proceeds of $7,900,000 (the "LIFE Tranche"). There is an offering document relating to the LIFE Tranche that can be accessed under the Company's profile at www.sedarplus.ca and at the Company's website at www.tantalus.com. Prospective investors should read this offering document before making an investment decision.
In addition, the Company will complete, concurrent with the LIFE Tranche, a brokered private placement of 1,312,500 Common Shares on the same terms as the LIFE Tranche, for gross proceeds of $2,100,000 (the "Concurrent Private Placement Tranche"). The Common Shares sold under the Concurrent Private Placement Tranche will be sold pursuant to applicable exemptions under NI 45-106 other than the listed issuer financing exemption. The Life Tranche together with the Concurrent Private Placement Tranche will constitute the Offering.
The net proceeds of the Offering shall be used for research and development activities pertaining to new product initiatives, sales and business development activities and general corporate purposes and working capital.
The Offering is expected to close on or about May 23, 2024, or such other date as the Company and the Underwriters may agree and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals ...
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