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MCAN Mortgage Corporation Announces $20 Million Rights Offering
MCAN Mortgage Corporation Announces $20 Million Rights Offering Canada NewsWire...
About this update from Mcan Mortgage Corporation
[{"type":"text","content":"\n \n \n \n MCAN Mortgage Corporation Announces $20 Million Rights Offering\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n /NOT FOR DISTRIBUTION OR DISSEMINATION INTO\n \n THE UNITED STATES\n \n OR THROUGH U.S. NEWSWIRE SERVICES/\n \n \n \n \n TORONTO\n \n ,\n \n May 5, 2021\n \n /CNW/ - MCAN Mortgage Corporation (\"MCAN\", the \"Company\" or \"we\") (TSX: MKP) today announced that it is offering rights (the \"Rights Offering\") to eligible holders of its common shares (the \"Common Shares\") of record at the close of business on\n \n May 12, 2021\n \n (the \"Record Date\").\n \n \n \n \n \n \n \n \n \n Pursuant to the Rights Offering, each holder of Common Shares will receive one right (a \"Right\") for each Common Share held.  Every 20 Rights will entitle the holder to subscribe for one whole Common Share of the Company at a price of\n \n $15\n \n .65 per Common Share (the \"Subscription Price\").\n \n \n MCAN expects to raise gross proceeds of approximately $20.4 million from the Rights Offering and intends to use all of the proceeds less offering expenses to fund the Company's mortgage lending and investment business.  The expected closing date of the Rights Offering is\n \n June 10, 2021\n \n .\n \n \n \"As MCAN continues to show solid growth, we require capital in order to fund our core business, while maintaining adequate amounts of regulatory capital as a federally-regulated financial institution,\" said\n \n Karen Weaver\n \n , President and Chief Executive Officer.  \"Growth in our corporate assets exceeded 14% in 2020, above our 10% target for the second year in a row.  We have a strong pipeline in 2021 with robust mortgage market activity.  We are seeking capital to fund this and our continued planned growth.  Raising capital through a Rights Offering provides a benefit to existing shareholders in terms of the cost of capital raises and the value provided to existing shareholders should they c...