Business
mBase Commerce Inc. completes reverse take-over, private placement, name change and commences trading as Bri-Chem Corp.
mBase Commerce Inc. completes reverse take-over, private placement, name change and commences trading as Bri-Chem Corp..
About this update from Bri-chem Corp.
[{"type":"text","content":"\n\n\n\nTSX Venture Exchange\n\n\nSymbol \"BRY\"\n\n\nEDMONTON, Jan. 10 /CNW/ - Bri-Chem Corp. (TSX Venture Exchange: BRY) is\npleased to announce the completion of the previously announced amalgamation of\nmBase Commerce Inc. (\"mBase\") and Gwelan Supply Ltd. (\"Gwelan\"), resulting in\nthe amalgamated company Bri-Chem Corp. (the \"Corporation\"). This reverse\ntake-over by way of amalgamation received TSX Venture Exchange (\"TSXV\") final\nacceptance by way of issuance of a TSXV Bulletin dated January 10, 2007. As of\nthe commencement of trading on January 11, 2007, the Corporation will trade as\nBri-Chem Corp. under the symbol \"BRY\".\n\n\nThe Corporation is also pleased to announce, immediately prior to\ncompletion of the amalgamation, Gwelan completed a private placement financing\nfor $9,611,400 (the \"Offering\") through the issuance of 4,805,700 shares at a\nprice of $2.00 per share.\n\n\nParadigm Capital Inc. acted as agent (the \"Agent\") under the Offering. As\npart of its compensation under the Offering, the Agent was granted 283,000\ncompensation options to purchase 283,000 common shares of the Corporation\n(\"Bri-Chem Shares\") at an exercise price of $2.00 per Bri-Chem Share on or\nbefore June 28, 2008 and received a cash commission of $555,989 under the\nOffering.\n\n\nThe Corporation has also entered into an agreement with HSBC Capital\n(Canada) Inc. (\"HSBC Capital\") to raise $5,000,000 of subordinate debt. As\npart of the debt financing, HSBC Capital will be issued 250,000 common share\npurchase warrants (the \"Warrants\"). Each Warrant entitles HSBC Capital to\nacquire one (1) Bri-Chem Share at an exercise price of $2.00 for a period of\n36 months from the date of issuance. The subordinate debt financing is\nexpected to close on or about January 31, 2007. The issuance of the Warrants\nis subject to regulatory approval.\n\n\nAs a result of the amalgamation and the closing of the Offering, as at\nthe date hereof, a total of 12,212,552 Bri-Chem Shares are issued and\noutstanding.\n\n\nThe Corporation operates out of its head office located in Acheson,\nAlberta and its principal activity is the wholesale/distribution blending and\npackaging of drilling fluid supplies for the oil and gas industry. The\nCorporation provides over 100 domestic and foreign products to customers\nthroughout Alberta, British Columbia...