Business
CYMAT Completes $2.74 Million Private Placement Financing
CYMAT Completes $2.74 Million Private Placement Financing
About this update from Cymat Technologies Ltd
[{"type":"text","content":"\n\n\n\nTORONTO, Apr. 19, 2010 (Canada NewsWire Group) -- /CNW/ -- Cymat Technologies Ltd. (\"Cymat\" or the \"Company\") today announced that it has completed a non-brokered private placement financing in the amount of $2.74 million. The Company will issue a total of 11,458,578 Units (comprising a common share and a warrant to purchase a common share) at $0.18 per Unit and 3,764,889 Subscription Receipts (which become Units on approval by the Company's shareholders of the issue of the securities underlying the Units), also at $0.18 per Subscription Receipt. The warrants expire 2 years from closing of the transaction and are exercisable as follows: $0.25 for a period of 12 months following closing and $0.35 for the 12 months thereafter.The proceeds from the issue of Subscription Receipts will be held in escrow pending shareholder approval of the issuance of the Units underlying the Subscription Receipts. Upon obtaining such shareholder approval, the Subscription Receipts will be deemed to be immediately exercised and the net proceeds from the sale of Subscription Receipts plus certain escrowed amounts will be paid to the Company. If shareholder approval is not obtained within the specified period, the gross proceeds attributable to the issue of Subscription Receipts, together with accrued interest, will be refunded to subscribers. Cymat intends to seek shareholder approval as soon as practicable.This funding will enhance Cymat's financial resources as it continues to execute on increased product demand from each of its three market verticals - architectural, automotive and military. In particular, the Company anticipates significant revenue growth in its military and architectural businesses. Proceeds from this financing will be used to increase production capacity to facilitate same and to provide general working capital.\"With the increasing demand for our products - particularly our military SmartMetal(TM) and architectural Alusion(TM) products - we expect to fully commercialize Cymat by the end of calendar year 2010.\" said Cymat President, Tim Hardman. \"These financial resources will allow the Company to accelerate our business progress significantly\" he added.Cymat develops innovative materials for industry. The Company has worldwide rights, through patents and licenses, for producing and licensing Stabilized Aluminum Fo...