Business
Drone Delivery Canada Corp. Announces Closing of Bought-Deal Offering, Including the Full Exercise of Over-Allotment Option, for Aggregate Gross Proceeds of $13,803,680
Toronto, Ontario--(Newsfile Corp. - December 22, 2020) - Further to its press releases dated N...
About this update from Volatus Aerospace Inc.
[{"type":"text","content":"Drone Delivery Canada Corp. Announces Closing of Bought-Deal Offering, Including the Full Exercise of Over-Allotment Option, for Aggregate Gross Proceeds of $13,803,680Toronto, Ontario--(Newsfile Corp. - December 22, 2020) - Further to its press releases dated November 30, 2020 and December 1, 2020, Drone Delivery Canada Corp. (TSXV: FLT), (OTC: TAKOF) (the \"Company\") is pleased to announce today that it has closed its previously announced bought-deal prospectus offering (the \"Offering\") for aggregate gross proceeds of $13,803,680 which includes the full exercise of the over-allotment option. Under the Offering, the Company sold a total of 15,686,000 units at a price of $0.88 per Unit (the \"Issue Price\"). Each Unit is comprised of one common share in the capital of the Company (each a \"Share\") and one-half of one Share purchase warrant of the Company (each whole such warrant a \"Warrant\"). Each Warrant entitles the holder to purchase one Share at a price of $1.20 until December 22, 2022. The TSXV has conditionally approved the listing of the Warrants, subject to standard listing conditions. The Warrants are expected to commence trading on or after December 30, 2020.The Offering was completed by a syndicate of underwriters with Cormark Securities Inc. as sole bookrunner and co-led by Echelon Wealth Partners Inc., and including Canaccord Genuity Corp. (collectively, the \"Underwriters\").The Underwriters were paid a cash commission of $828,221, equal to 6% of the gross proceeds raised, and were issued an aggregate of 941,160 underwriter options (the \"Underwriter Options\"), each Underwriter Option entitling the holder to acquire one Unit at the Issue Price until December 22, 2022.The securities were offered by way of a short form prospectus filed in all provinces of Canada, except Quebec. The Company intends to use the net proceeds from the Offering to expand and broaden the range of addressable use case applications for the Company's drone delivery solution by strategically and decisively investing in functionality enhancements to existing solutions, and by adding new technologies and additional solution elements, including for larger, heavier payloads and increased range and delivery capacity of its solution, in order to provide a more varied portfolio of functions and services. The securities issued pursuant to the Of...