Business
Cymat Announces Agreement with M-Partners and D&D Securities for private placement of $2 - $3 million
Cymat Announces Agreement with M-Partners and D&D Securities for private placement of $2 - $3 million.
About this update from Cymat Technologies Ltd
[{"type":"text","content":"\n\n\n\nListing: TSX\nSymbol: CYM\n\n\nTORONTO, Dec. 5 /CNW/ - Cymat Technologies Ltd. today announced that it\nhas engaged M-Partners and D&D Securities Company on a best efforts basis to\nact as agents for a private placement of common shares and common share\npurchase warrants for gross proceeds of between $2.0 and $3.0 million. Each\nunit will consist of one common share and one two-year purchase warrant. The\ncommon shares will be priced at $0.30. Each warrant will have an exercise\nprice of $0.40 for the first twelve months and $0.60 for the next twelve\nmonths. The transaction is expected to close within 30 days.\n\n\nThis financing will help accelerate Cymat's planned transition from a\nresearch-based to a revenue-focused company. Cymat's transition strategy,\nlaunched in June of this year, is well under way with the recent announcement\nof an auto-licensing agreement with Georg Fischer. As well, Cymat has\ngenerated substantial revenue increases in the last two quarters from Alusion,\nits architectural product line.\n\n\nProceeds from this financing will be used to increase production\ncapacity, reduce order cycle times, hire additional sales staff and provide\ngeneral working capital.\n\n\n\"Cymat's products are experiencing very substantial growth as a result of\nour recent sales focus. This financing coupled with the non-dilutive\n$1.8 million funding from the recent Brompton transaction, should provide\nCymat with sufficient resources to achieve profitability\" said Chris Skillen\nCEO of Cymat.\n\n\nAbout Cymat:\n\n\nCymat develops innovative materials for industry. The company has\nexclusive worldwide rights, through patents and licenses, for producing\nStabilized Aluminum Foam. The ultra-light metallic foam is manufactured by\nbubbling gas through molten-alloyed aluminum containing a dispersion of fine\nceramic particles and can be produced as either Near-net Shapes or Flat\nPanels. The result is a new strategic material with a wide array of benefits,\nincluding a good stiffness-to-weight ratio, mechanical energy absorption at\nlow stress levels, thermal and acoustic insulation, is recyclable and\nrelatively low cost of production. Cymat is collaborating with a number of\npartners spanning the automotive, transportation, blast mitigation and\nconstruction industries.\n\n\nThe foregoing press release contains f...