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Atlas Engineered Products Ltd. Announces $4 Million Bought Deal and $8 Million Concurrent Private Placement Offering
Nanaimo, British Columbia--(Newsfile Corp. - June 17, 2024) - Atlas Engineered Products Ltd. (TSX...
About this update from Atlas Engineered Products Ltd.
[{"type":"text","content":"Atlas Engineered Products Ltd. Announces $4 Million Bought Deal and $8 Million Concurrent Private Placement OfferingNanaimo, British Columbia--(Newsfile Corp. - June 17, 2024) - Atlas Engineered Products Ltd. (TSXV: AEP) (OTC Pink: APEUF) (\"AEP\" or the \"Company\") is pleased to announce that it has entered into an agreement with Beacon Securities Limited (\"Beacon\"), on behalf of a syndicate of underwriters (together with Beacon, the \"Underwriters\"), pursuant to which the Underwriters have agreed to purchase, on a bought deal basis, with a right to arrange for substituted purchasers, 2,963,000 common shares (the \"Offered Shares\") of the Company at a price of $1.35 per Offered Share (the \"Issue Price\") for aggregate gross proceeds to the Company of $4,000,050 (the \"Offering\"), pursuant to Part 5A (the \"Listed Issuer Financing Exemption\") of National Instrument 45-106 - Prospectus Exemptions (\"NI 45-106\").In connection with the Offering, the Company has granted the Underwriters, an option (the \"Underwriters' Option\"), exercisable, in whole or in part by Beacon by giving notice to the Company at any time up to 48 hours prior to the Closing Date (as defined below) to purchase up to an additional 741,000 Offered Shares at the Issue Price for additional gross proceeds of up to $1,000,350. In addition to the Offering, the Company and the Underwriters also intend to complete a brokered private placement on a commercially reasonable \"best efforts\" agency basis of up to 5,926,000 common shares of the Company (the \"Private Placement Shares\") to certain purchasers pursuant to applicable exemptions under NI 45-106 at the Issue Price for gross proceeds of up to $8,000,100 (the \"Concurrent Private Placement\"). The Private Placement Shares will be offered for sale to purchasers resident in Canada and other qualifying jurisdictions. Any Private Placement Shares issued under the Concurrent Private Placement will be subject to a four-month hold period in Canada.Subject to compliance with applicable regulatory requirements and in accordance with NI 45-106, the Offered Shares will be offered for sale to purchasers resident in Canada, except Quebec, and other qualifying jurisdictions, pursuant to the Listed Issuer Financing Exemption. The securities issued under the Listed Issuer Financing Exemption will not be subject to a ho...