dynaCERT Announces $2,900,000 First Tranche Closing and Extension of its Non-Brokered Private Placement
December 05 2023 - 5:00AM
Business Wire
NOT FOR DISSEMINATION IN THE UNITED STATES
OR FOR DISTRIBUTION TO U.S. WIRE SERVICES
dynaCERT Inc. (TSX: DYA) (OTCQX: DYFSF) (FRA: DMJ) ("dynaCERT"
or the "Company") is pleased to announce that it has closed the
initial tranche of its non-brokered private placement (the
Offering”) of up to 40,000,000 units with the issuance of
19,338,554 units for gross proceeds of $2,900,783. Each unit (a
“Unit”) is priced at $0.15 per Unit for a total maximum Offering of
$6,000,000. All dollar values are in Canadian dollars.
The Company is also pleased to announce that it has applied to
the Toronto Stock Exchange ("TSX") to extend the Offering for a
further thirty (30) days, as the Company is continuing to receive
subscriptions and further expressions of interest to participate in
the Offering. Subject to approval of the TSX, one or more
additional tranches of the Offering may be completed.
Each Unit consists of one (1) common share of the Company (a
“Common Share”) and one-half (1/2) of a common share purchase
warrant. Each whole warrant (a “Warrant”) is exercisable into one
(1) Common Share at an exercise price of $0.20 per Warrant at any
time for a period commencing upon the closing of the Offering (the
“Closing Date”) for a period of thirty-six months thereafter. If at
any time after the date that is four months and one day after the
Closing Date, the closing trading price of the Common Shares on the
Toronto Stock Exchange is greater than $0.35 per Common Share for a
period of ten (10) consecutive business days, then the Company may
give notice thereof to the holders of the Warrants, and, in such
case, the expiry time of the Warrants shall be accelerated and
shall be the 30th day after the date on which such notice is deemed
to have been given by the Company.
In connection with the first tranche closing, an aggregate of
5,000 compensation warrants have been issued, each being
exercisable into one (1) Common Share at an exercise price of $0.15
for a period of twenty-four (24) months. A cash commission of 5%
has also been paid in respect of such subscription. Subject to
applicable securities regulation, the Company may pay finders fees
consisting of up to 5% cash and 5% per cent compensation warrants
in connection with the Offering.
The Offering is being offered for sale to purchasers (i) in all
provinces of Canada pursuant to available private placement
exemptions, (ii) in the United States on a private placement basis
pursuant to available exemptions from the registration requirements
under the United States Securities Act of 1933, as amended, and
(iii) in offshore jurisdictions as may be agreed to by the Company
pursuant to available prospectus or registration exemptions in
accordance with applicable laws.
All of the securities issued under the first tranche closing
(including all underlying securities) are subject to a statutory
hold period that will expire on April 5, 2024. An insider purchased
an aggregate of $150,000 or 1,000,000 Units under the first tranche
of this Offering. Such subscription is considered to be a related
party transaction and is therefore subject to the provisions of
Multilateral Instrument 61-101 – "Protection of Minority Security
Holders in Special Transactions", however exemptions are available
from the minority shareholder approval and valuation requirements
set forth in the foregoing Multilateral Instrument. No commissions
are payable in respect of the first tranche of the Offering.
The gross proceeds of the Offering will be used to finance sales
of the Company’s HydraGEN™ Technology Products to participants in
the mining, oil & gas, transportation and generator sectors on
a global basis, for working capital and debt repayment, for general
corporate purposes, an equity investment in Cipher Neutron Inc.,
and to settle advisory fees and permitted finders’ fees under
applicable securities legislation, including advisory fees payable
to Canaccord Genuity Corp., a financial advisor to the Company.
The securities offered hereby have not and will not be
registered under the United States Securities Act of 1933 (the
"1933 Act") and may not be offered or sold in the United States or
to U.S. persons (as defined in Regulation S under the 1933 Act)
unless the securities have been registered under the 1933 Act or
are otherwise exempt from such registration.
Extension of the Offering is subject to approval of the Toronto
Stock Exchange.
About dynaCERT Inc.
dynaCERT Inc. manufactures and distributes Carbon Emission
Reduction Technology along with its proprietary HydraLytica™
Telematics, a means of monitoring fuel consumption and calculating
GHG emissions savings designed for the tracking of possible future
Carbon Credits for use with internal combustion engines. As part of
the growing global hydrogen economy, our patented technology
creates hydrogen and oxygen on-demand through a unique electrolysis
system and supplies these gases through the air intake to enhance
combustion, which has shown to lower carbon emissions and improve
fuel efficiency. Our technology is designed for use with many types
and sizes of diesel engines used in on-road vehicles, reefer
trailers, off-road construction, power generation, mining and
forestry equipment. Website: www.dynaCERT.com.
READER ADVISORY
This press release of dynaCERT Inc. contains statements that
constitute "forward-looking statements". Such forward-looking
statements involve known and unknown risks, uncertainties and other
factors that may cause dynaCERT’s actual results, performance or
achievements, or developments in the industry to differ materially
from the anticipated results, performance or achievements expressed
or implied by such forward-looking statements. There can be no
assurance that such statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements. Actual results
may vary from the forward-looking information in this news release
due to certain material risk factors. This news release is not
intended for distribution to U.S. news services or for
dissemination in the United States.
Except for statements of historical fact, this news release
contains certain "forward-looking information" within the meaning
of applicable securities law. Forward-looking information is
frequently characterized by words such as "plan", "expect",
"project", "intend", "believe", "anticipate", "estimate" and other
similar words, or statements that certain events or conditions
"may" or "will" occur. Although we believe that the expectations
reflected in the forward-looking information are reasonable, there
can be no assurance that such expectations will prove to be
correct. We cannot guarantee future results, performance of
achievements. Consequently, there is no representation that the
actual results achieved will be the same, in whole or in part, as
those set out in the forward-looking information.
Forward-looking information is based on the opinions and
estimates of management at the date the statements are made and are
subject to a variety of risks and uncertainties and other factors
that could cause actual events or results to differ materially from
those anticipated in the forward-looking information. Some of the
risks and other factors that could cause the results to differ
materially from those expressed in the forward-looking information
include, but are not limited to: uncertainty as to whether our
strategies and business plans will yield the expected benefits;
availability and cost of capital; the ability to identify and
develop and achieve commercial success for new products and
technologies; the level of expenditures necessary to maintain and
improve the quality of products and services; changes in technology
and changes in laws and regulations; the uncertainty of the
emerging hydrogen economy; including the hydrogen economy moving at
a pace not anticipated; our ability to secure and maintain
strategic relationships and distribution agreements; and the other
risk factors disclosed under our profile on SEDAR at www.sedar.com.
Readers are cautioned that this list of risk factors should not be
construed as exhaustive.
The forward-looking information contained in this news release
is expressly qualified by this cautionary statement. We undertake
no duty to update any of the forward-looking information to conform
such information to actual results or to changes in our
expectations except as otherwise required by applicable securities
legislation. Readers are cautioned not to place undue reliance on
forward-looking information.
Neither the Toronto Stock Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
Toronto Stock Exchange) accepts responsibility for the adequacy or
accuracy of the release.
On Behalf of the Board
Murray James Payne, CEO
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version on businesswire.com: https://www.businesswire.com/news/home/20231205186908/en/
For more information:
Jim Payne, CEO & President dynaCERT Inc. #101 – 501 Alliance
Avenue Toronto, Ontario M6N 2J1 +1 (416) 766-9691 x 2
jpayne@dynaCERT.com
Investor Relations dynaCERT Inc. Nancy Massicotte +1 (416)
766-9691 x 1 nmassicotte@dynaCERT.com
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