Business
Cymat Announces Advisory Agreement with Fraser Mackenzie Limited for Private Placement of Shares
Cymat Announces Advisory Agreement with Fraser Mackenzie Limited for Private Placement of Shares.
About this update from Cymat Technologies Ltd
[{"type":"text","content":"\n\n\n\nListing: TSX\n\n\nSymbol: CYM\n\n\nTORONTO, Sept. 27 /CNW/ - Cymat Technologies Ltd. today announced that it\nhas engaged Fraser Mackenzie as an advisor to assist the Company with a\nnon-brokered private placement of its common shares and common share purchase\nwarrants for gross proceeds of a minimum of $1.5 million. Each unit will\nconsist of one common share and one half-purchase warrant with an 18-month\nexpiry. Pricing of the common shares will be at $0.25 and the warrants at an\nexercise price of $0.35. The transaction is expected to close within 60 days.\n\n\nThis private placement was precipitated by significant unsolicited\nCanadian and European institutional interest for Cymat treasury shares.\n\n\nThis funding will enhance Cymat's financial resources as it continues to\nmeet increased product demand in its targeted markets through its\nrevenue-focused strategy. The company is now poised for significant revenue\ngrowth as evidenced by its recently announced automotive prototype order,\nadditional Audi order and blast mitigation progress. Cymat has also generated\nsubstantial revenue increases in the last three quarters from Alusion, its\narchitectural product line.\n\n\nProceeds from this financing will be used to increase production\ncapacity, reduce order cycle times, hire additional sales staff to accelerate\nsales and provide general working capital.\n\n\n"This financing, coupled with the substantial revenue potential in our\ntarget markets, will allow Cymat to accelerate sales, expedite its primary\ngoal of achieving profitability and realize on a very large market for its\nadvanced patented material" said Chris Skillen, CEO of Cymat.\n\n\nIn addition, Cymat is working with the TSX to obtain an extension to its\nAnnual Shareholders Meeting requirement for October 31, 2007 for up to 90\ndays, to allow Cymat the opportunity to include agenda items related to this\nfinancing that may require shareholder approval.\n\n\nAbout Cymat:\n\n\nCymat develops innovative materials for industry. The company has\nworldwide rights, through patents and licenses, for producing Stabilized\nAluminum Foam. The ultra-light metallic foam is manufactured by bubbling gas\nthrough molten-alloyed aluminum containing a dispersion of fine ceramic\nparticles and can be produced as either Near-net Shapes or Flat Panels. The\nr...