Business
Zedcor Inc. Raises $2.6 Million in Offering of Units
Calgary, Alberta--(Newsfile Corp. - March 30, 2022) - Zedcor Inc. (the " Company " or " Zedcor...
About this update from Zedcor Inc
[{"type":"text","content":"Zedcor Inc. Raises $2.6 Million in Offering of UnitsCalgary, Alberta--(Newsfile Corp. - March 30, 2022) - Zedcor Inc. (the \"Company\" or \"Zedcor\") (TSXV: ZDC) is pleased to announce that it has raised gross proceeds of $2,616,965 through the offering of Units (as defined below). The Company has closed its previously announced short form prospectus offering (the \"Prospectus Offering\") for gross proceeds of $2,266,965. The Company has also received an executed subscription agreement in connection with a brokered private placement (the \"Private Placement\" and together with the Prospectus Offering, the \"Offering\"), which is expected to close on or about April 6, 2022, for gross proceeds of $350,000. Upon completion of the Private Placement, the Company will have issued 5,233,930 units of the Company (the \"Units\") at a price of $0.50 per Unit (the \"Offering Price\") in connection with the Offering. Each Unit consists of one common share of the Company (a \"Common Share\") and one-half of one Common Share purchase warrant of the Company (each whole Common Share purchase warrant, a \"Warrant\"), with each Warrant entitling the holder thereof to acquire one Common Share (\"Warrant Share\") at a price of $0.70 for a period of two years from the date of issue.The Offering is being completed pursuant to an agency agreement (the \"Agency Agreement\") dated March 24, 2022 among the Company and Paradigm Capital Inc. (the \"Lead Agent\") and Canaccord Genuity Corp. (together with the Lead Agent, the \"Agents\"). In consideration for the services performed by the Agents under the Agency Agreement, the Company paid the Agents a cash commission of $181,357.20, which represents 8.0% of the gross proceeds raised under the Prospectus Offering. The Company expects to complete the Private Placement, subject to the acceptance of the TSX Venture Exchange. The Units offered pursuant to the Private Placement are not qualified by a prospectus, and therefore, the underlying Common Shares and Warrants will be subject to a statutory hold period. In consideration for their services in connection with the Private Placement the Company will pay the Agents a cash commission equal to 8% of the gross proceeds of the Private Placement. The Company intends to use the net proceeds of the Offering primarily to support growth initiatives, reduce indebtedness...