Business
Zonetail Inc. Announces Closing of Qualifying Transaction
Toronto, Ontario--(Newsfile Corp. - November 8, 2018) - Zonetail Inc. (formerly Revelstoke Equ...
About this update from Zonetail, Inc.
[{"type":"text","content":"Zonetail Inc. Announces Closing of Qualifying TransactionToronto, Ontario--(Newsfile Corp. - November 8, 2018) - Zonetail Inc. (formerly Revelstoke Equity Inc.) (TSXV: REQ.H) (the \"Corporation\"), is pleased to announce that today it closed its previously announced business combination involving Zonetail Inc. (\"Zonetail\") as the \"Qualifying Transaction\" of the Corporation (as such term is defined within the meaning of Policy 2.4 - Capital Pool Companies of the TSX Venture Exchange (the \"Exchange\")). Subject to receiving final Exchange acceptance, the common shares of the Corporation (\"Common Shares\") are expected to resume trading on the Exchange on or about November 16, 2018 under the new name \"Zonetail Inc.\" with the trading symbol \"ZONE\".AmalgamationPursuant to the terms of a merger agreement dated effective November 5, 2018 (the \"Merger Agreement\") between the Corporation, Zonetail and Revelstoke Subco Inc. (\"Subco\"), Zonetail and Subco amalgamated (the \"Amalgamation\") under the Business Corporations Act (Ontario) to form a new company (\"Amalco\"). Concurrently with the closing of the Amalgamation, Revelstoke Equity Inc. changed its name to \"Zonetail Inc.\". Following completion of the Amalgamation, Amalco immediately amalgamated with Zonetail, the new entity being the \"Resulting Issuer\", with the Resulting Issuer now holding all of Zonetail's assets and conducting the business of Zonetail. The terms of the Merger Agreement are described in more detail in the press release of the Corporation dated November 7, 2018, and available on SEDAR at www.sedar.com. Upon completion of the Amalgamation, there were 64,774,130 Common Shares issued and outstanding. An aggregate of 16,167,429 Common Shares and 1,905,555 warrants issued to the former holders of common shares of Zonetail (\"Zonetail Shares\") were placed in escrow pursuant to a value security escrow agreement, and an aggregate of 9,471,184 Common Shares issued to the former principals of Zonetail were placed in escrow pursuant to a surplus security agreement, each pursuant to the policies of the Exchange, and will be released in accordance with the terms thereof.Private Placement FinancingsPrior to closing the Amalgamation, Zonetail completed a brokered private placement on July 13, 2018, pursuant to which 11,130,092 subscription receipts of Zonetail (\...