/NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES/
TORONTO, Oct. 29 /CNW/ - Route1 Inc.(TM) (TSX-V:ROI), the trusted provider of security and identity management network solutions, announced today that it has priced its previously announced brokered private placement. Pursuant to the offering, the Company will issue and sell, on a best efforts basis, up to 83,333,333 Units at an issue price of $0.12 per unit. Each Unit will be comprised of one (1) common share and one-half (0.5) of one common share purchase warrant of the Company, with each whole common share purchase warrant being exercisable to acquire one common share of the Company at an exercise price of $0.155 per share for a period of two (2) years following the closing of the offering. The offering will be conducted through a syndicate of agents led by Raymond James Ltd. and including GMP Securities L.P. and Laurentian Bank Securities Inc. The closing of the offering is expected to occur on or about November 6, 2007.
In consideration for their services, the agents will be paid a cash commission equal to seven percent (7%) of the gross proceeds raised pursuant to the offering and will be granted non-assignable common share warrants equal, in aggregate, to six percent (6%) of the number of units sold. Each warrant shall be exercisable to acquire one (1) common share of the Company for a period of two (2) years following the closing of the offering at a price of $0.155 per share.
The offering is subject to regulatory approvals including the approval of the TSX Venture Exchange. All securities issued pursuant to the offering will be subject to applicable statutory, exchange and regulatory hold periods.
It is anticipated that the proceeds of the private placement will be used to finance future growth and for general working capital purposes.
ABOUT ROUTE1 INC.
Route1 is the trusted provider of security and identity management network solutions that are redefining today's digital landscape. At the heart of Route1's solutions is MobiNET, a communications and service delivery platform focused on identity management and entitlement-based access to resources. Leveraging the power of MobiNET is the award-winning MobiKEY, an ultra-portable computing device that securely connects users to the myriad of MobiNET services from any Internet-enabled Windows-based PC. This patent- pending computing solution is embedded on a smart-card enabled, cryptographic USB device, making it one of the most powerful and easy-to-use secure computing solutions available today. MobiKEY enables users to connect to their desktop data, applications, network resources, and web content with services such as TruOFFICE and PurLINK. Route1's patent-pending solutions, based on FIPS-140-2 cryptographic modules, meet the stringent security needs and high standards mandated by all levels of government. They have been evaluated by ICSA Labs and certified by the CSE. As a Company with high regard for intellectual property, Route1 continues to encourage and nurture innovation across its talented team. Headquartered in Toronto, Route1 is listed on the TSX Venture Exchange (symbol: ROI) and has offices and agents worldwide. For more information, visit www.route1.com.
This news release, required by applicable Canadian laws, is not for distribution to U.S. news services or for dissemination in the United States, and does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
The TSX Venture Exchange has not reviewed or approved the contents of
this press release and does not accept responsibility for its adequacy or
accuracy.
(C)2007 Route1 Inc. All rights reserved. Route1, the Route1 Logo, Mobi,
Route1 MobiKEY, Route1 TruOFFICE, Route1 PurLINK, Route1 EnterpriseLIVE,
and Route1 MobiNET are either registered Trademarks or Trademarks of
Route1 Inc. in the United States and/or Canada. All other trademarks
and/or trade names are the property of their respective owners.