CYM Cymat Technologies Ltd

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Symbol: TSXV: CYM

MISSISSAUGA, ON, Aug. 27, 2021 /CNW/ - Cymat Technologies Ltd. (TSXV: CYM) (the "Company" or "Cymat") is pleased to announce record revenues for the fiscal year ended April 30, 2021.

Our core business generated an historically high revenue of $4.2M in fiscal 2021, representing a year-over-year increase of 246%.  This level of sales was key to producing positive cash flow from operations and Cymat's best financial results to-date.

On the business development front, Cymat has made significant progress in the automotive sector – a chief focus of the Company's growth strategy going forward. The Company entered into a co-operation agreement with Tesseract Structural Innovations Inc. ("Tesseract"), an automotive engineering and design firm. Together, the companies began marketing Tesseract's fully-designed and customizable energy management components. This joint product offering leverages the unique light-weight and energy absorption characteristics of SmartMetal^TM with Tesseract's innovative design, engineering and testing capabilities. These components are particularly relevant to and are targeted towards the emerging electric vehicle segment. To bolster theses initiatives, Cymat added a senior automotive executive to its business development team. In addition to the Tesseract initiatives, he has begun to advocate the efficacy of SmartMetal^TM to his extensive network of contacts in the automotive industry.

During the year, Cymat obtained financing in the form of a partially forgivable loan through the Canada Emergency Business Account in the amount of $40,000. The Company also received an interest-free loan in the amount of $180,000 from the Federal Economic Development Agency for Southern Ontario through their Regional Relief and Recovery Fund programme. In the final weeks of April 2021, the Company initiated an equity private placement financing. The financing was completed at the beginning of May 2021 and raised gross proceeds of $5M.

Key financial data for the year ended April 30, 2021 and the two previous fiscal years include the following (All items in $ 000's, except net loss per share):

"Despite the unprecedented challenges arising from the COVID-19 pandemic, the Cymat team displayed their resiliency and determination in delivering record annual sales, positive operational cash flow and the first positive annual income in Cymat's history", said Michael Liik, CEO of Cymat. "The recently completed financing has provided the economic means to deploy more resources to each of our major sales verticals – architecture, automotive and military - as well as to plant capacity and productivity initiatives. We are confident that these actions will have positive consequences for our future revenue growth," added Mr. Liik.

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture and sell 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 Alusion^TM brand and its automotive and military SAF under the SmartMetal^TM brand. For further information , please visit our website at 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.

SOURCE Cymat Technologies Ltd.