Symbol: TSXV: CYM

MISSISSAUGA, ON, May 4, 2021 /CNW/ - Cymat Technologies Ltd. (TSXV: CYM) (the "Company" or "Cymat"). Further to its press release dated April 26, 2021, Cymat is pleased to announce the completion of  a non-brokered private placement of 7,719,723 equity units (the "Units") at an issue price of $0.65 per Unit (the "Issue Price"), for aggregate proceeds of $5,017,820 (the "Offering"). Higher-than-anticipated demand for the Offering led to the increase in participation beyond the $4.3 Million in commitments previously announced.

Cymat Technologies Ltd. logo (CNW Group/Cymat Technologies Ltd.)

Each Unit is comprised of  of one (1) common share in the capital of the Company (a "Common Share") and one half (1/2) of a Common Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to purchase one Common Share at an exercise price of $0.90 for a twenty-four (24) month period. The Company engaged Eight Capital to act as an advisor in connection with this Offering. Cymat will also issue 770,000 Options in compensation for advisory services. Each Option will entitle the holder to purchase one Unit at the Issue Price for an eighteen (18) month period.

The Company plans to use the proceeds from this financing to undertake production capacity and productivity upgrades in its plant to support both growth in its AlusionTM product line and anticipated growth from SmartMetalTM initiatives. Cymat will also use these funds to expand its business development endeavors  primarily in the automotive sector and, for general corporate purposes. The Offering is subject to TSX Venture Exchange final review.

Cymat CEO Michael Liik stated, "We are extremely pleased by the overwhelming interest in this offering. The proceeds will allow us to both upgrade our production facility and accelerate key business development initiatives. As well, our significantly enhanced balance sheet will undoubtedly strengthen Cymat's negotiating position with OEMs."  

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture Stabilized Aluminum Foam ("SAF"), a unique, ultra-light, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics including: customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural SAF under the AlusionTM brand and its automotive and military SAF under the SmartMetalTM brand. For further information , please visit our website at https://www.cymat.com/

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Certain material assumptions regarding such forward-looking statements may be discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The Shares have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States, or to or for the account or benefit of any person in the United States, absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any common shares in the United States, or in any other jurisdiction in which such offer, solicitation or sale would be unlawful. We seek safe harbour.

Neither the Toronto Venture Exchange (TSXV) nor its Market Regulator (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

Not intended for distribution to United States Newswire Services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of United States Securities laws.

SOURCE Cymat Technologies Ltd.

Copyright 2021 Canada NewsWire

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