Builders Capital Mortgage Corp. Announces Closing of Rights Offering

About this update from Builders Capital Mortgage Corp. Class A

[{"type":"text","content":"Builders Capital Mortgage Corp. Announces Closing of Rights OfferingCalgary, Alberta--(Newsfile Corp. - November 29, 2022) - Builders Capital Mortgage Corp. (TSXV: BCF) (the \"Company\") is pleased to announce the successful completion of its previously announced rights offering (the \"Rights Offering\") to eligible holders of its Class A Non-Voting Common Shares (the \"Class A Shares\") which expired at 5:00 pm (Toronto time) on November 25, 2022.Upon closing of the Rights Offering, the Company issued 247,501 Class A Shares at a price of $9.30 for aggregate gross proceeds of $2,301,759. 184,409 Class A Shares were issued under the basic subscription privilege and 63,092 were issued under the additional subscription privilege. Pursuant to the terms of the Rights Offering, each eligible shareholder was entitled to subscribe for one Class A Share for every 3 rights (the \"Rights\") held by such shareholder.Following the completion of the Rights Offering, the Company has 2,250,372 Class A Shares issued and outstanding. The Rights were halted from trading on the TSX Venture Exchange (\"TSXV\") as of 12 noon (Toronto time) on November 25, 2022. The Rights Offering remains subject to the final acceptance of the TSXV.The Company intends to use all of the proceeds, less offering expenses, to fund the Company's mortgage lending business.CEO Sandy Loutitt said, \"We are pleased with the success of this capital raise and with the support shown to us by existing shareholders. We are committed to continuing to expand our lending portfolio while offering reliable dividends to our shareholders.\"The Class A Shares issuable upon exercise of the Rights have not been, and will not be, registered under the United States Securities Act of 1933, as amended, and accordingly, the Rights and the Class A Shares were not being publicly offered for sale in the \"United States\" or to \"U.S. persons\" (as such terms are defined in Regulation S under the United States Securities Act of 1933, as amended). This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction. There shall be no sale of the securities in any jurisdiction in which an offer to sell, a solicitation of an offer to buy or a sale would be unlawful.For further information, please contact:John Strangway, CPA, CA Chief Fin...

More updates from Builders Capital Mortgage Corp. Class A