Siyata Mobile Announces Increase of CDN$1 Million to Brokered Private Placement resulting in up to CDN$4 Million in Unsecured...
December 13 2017 - 6:49PM
Further to its news release dated December 13, 2017, Siyata Mobile
Inc. (the "
Company" or "
Siyata")
(TSX-V:SIM) (OTCQX:SYATF) is pleased to announce that it has
increased the size of its previously announced brokered private
placement financing from CDN$3,000,000.00 to CDN$4,000,000.00 (and,
if exercised, up to an additional CDN$600,000.00 (up from the
CDN$450,000.00 as previously announced on December 13, 2017)
pursuant to the Agent’s Option (as defined below) through the
issuance of unsecured convertible debentures (the
“
Convertible Debentures”) at a price of
CDN$1,000.00 (the “
Issue Price”) per Convertible
Debenture (the “
Offering”).
The Company will grant an option to require the
Company to sell, at the sole discretion of the Lead Agent, up to an
additional 600 Convertible Debentures at the Issue Price (the
“Agent’s Option”) (up from the 450 Convertible
Debentures previously announced on December 13, 2017) and otherwise
on the same terms and conditions, exercisable in whole or in part
upon providing written notice to the Company not less than
forty-eight (48) hours prior to the closing date for the Offering
(the “Closing Date”).
Each Convertible Debenture will be convertible
into 1,667 common shares in the capital of the Company
(“Common Shares”, and each a “Common
Share”) representing approximately CDN$0.60 (the
“Conversion Price”) per Common Share, subject to
adjustment in certain events.
Each Convertible Debenture will bear interest at
a rate of 10.5% per annum from the date of issue, payable in cash
quarterly in arrears. Any unpaid interest payments will accrue and
be added to the principal amount of the Convertible Debenture.
The Convertible Debentures will mature thirty
(30) months (the “Maturity Date”) after the date
of issuance and are convertible into Common Shares at the
Conversion Price at the option of the holder at any time prior to
the close of business on the earlier of: (i) the last business day
immediately preceding the Maturity Date, and (ii) the date fixed
for redemption in the event of a change of control.
On the Closing Date, each purchaser will receive
one (1) non-transferrable share purchase warrant (each, a
“Warrant”) for each CDN$1.00 principal amount of
Convertible Debentures purchased by such purchaser. Each Warrant
will entitle the holder to acquire one further Common Share (each,
a “Warrant Share”) at an exercise price of
CDN$0.70 per Warrant Share. The Warrants will expire on the
two year anniversary of the Closing Date.
The Lead Agent has the right to assemble a
syndicate in accordance with standard industry practice (including
the Lead Agent, the “Syndicate”) and in
consideration of the services to be provided by the Syndicate, the
Company shall pay a commission of 7% of the gross proceeds of the
Offering, payable in Common Shares.
The Offering remains subject to the approval of
the TSX Venture Exchange, as well as customary legal and business
due diligence by the Syndicate. The securities issued pursuant to
the Offering will be subject to a statutory hold period of four (4)
months and one (1) day and the net proceeds from the Offering will
be used for general working capital. Net proceeds of
the Offering will be used to fund general working capital and repay
and close the operating credit margin facility of Signifi Mobile
Inc. (a wholly owned subsidiary of the Company) with the National
Bank of Canada and discharge the security associated therewith.
About Siyata
Siyata Mobile Inc. is a leading global developer
and provider of cellular communications systems for enterprise
customers, specializing in connected vehicle products for
professional fleets, marketed under the Uniden® Cellular brand.
Since developing the world’s first 3G connected vehicle device,
Siyata has been a pioneer in the industry, launching the world’s
first 4G LTE all-in-one fleet communications device in 2017.
Incorporating voice, push-to-talk over cellular, data, and fleet
management solutions into a single device, the company aims to
become the connected vehicle communications device of choice for
commercial vehicles and fleets around the world.
Siyata also offers rugged phones for industrial
users and signal boosters for homes, buildings, and fleets with
poor cell coverage. Siyata’s customers include cellular operators,
commercial vehicle technology distributors, and fleets of all sizes
in Canada, the U.S., Europe, Australia, and the Middle East.
Visit www.siyatamobile.com and
http://www.unidencellular.com/ to learn more.
On Behalf of the Board of Directors of:
SIYATA MOBILE INC.
Marc Seelenfreund CEO and Chairman
Investor Relations: Arlen Hansen
Kin Communications 1-866-684-6730 SIM@kincommunications.com
PCG Advisory Group: Kirin Smith,
Chief Operating Officer 646.863.6519 ksmith@pcgadvisory.com
Sales Department: Glenn Kennedy,
VP Sales Siyata Mobile Inc. 416-892-1823
glenn_kennedy@siyatamobile.com
Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
This news release may include forward-looking
statements that are subject to risks and uncertainties. All
statements within, other than statements of historical fact, are to
be considered forward looking. Although the Company believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in forward-looking statements. Factors that
could cause actual results to differ materially from those in
forward-looking statements include market prices, continued
availability of capital and financing, and general economic, market
or business conditions. There can be no assurances that such
statements will prove accurate and, therefore, readers are advised
to rely on their own evaluation of such uncertainties. We do not
assume any obligation to update any forward-looking statements
except as required under the applicable laws.
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