/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR
DISTRIBUTION TO UNITED STATES
NEWSWIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES./
TORONTO, March 6, 2019 /CNW/ - Drone Delivery Canada
Corp. ("DDC" or the "Company") (TSXV:FLT), is pleased to
announce, further to its news release dated March 6, 2019, that due to strong demand, it has
agreed to increase the size of its previously announced bought deal
offering of units (the "Units") at a price of $1.20 per Unit, from up to 6,000,000 Units for
aggregate gross proceeds of up to $7,200,000 to up to 8,350,000 Units for aggregate
gross proceeds of up to $10,020,000
(the "Offering"). In addition, the Company has granted to GMP
Securities L.P. ("GMP"), as sole lead agent, an option, exercisable
any time not less than 48 hours prior to the closing of the
Offering, to arrange for the purchase of up to an additional
1,252,500 Units. The Underwriter can elect to exercise the
over-allotment option for Units only, common shares only or
warrants only, or any combination thereof. If GMP's option is
exercised in full, the aggregate gross proceeds of the Offering
will be $11,523,000 pursuant to the
issuance of 9,602,500 Units.
Each Unit will entitle the holder thereof to receive, without
payment of additional consideration, one (1) unit of the Company
(each a "Unit" and collectively the "Units") consisting of one (1)
Common Share (each a "Unit Share") and one-half of one (0.5) common
share purchase warrant (each whole common share purchase warrant a
"Warrant"). Each whole Warrant, subject to customary adjustments,
shall be exercisable into one (1) Common Share (a "Warrant Share")
at an exercise price of $1.50 per
Warrant Share for a period of 24 months from the closing of the
Offering. If the volume weighted average price of the Common Shares
on the TSX Venture Exchange is equal to or greater than
$2.00 for a period of 10 consecutive
trading days then the Company may anytime thereafter accelerate the
expiry date of the Warrants to the date that is 30 days following
the date on which the Company issues notice to all the Warrant
holders of the new expiry date. The Company will also issue a press
release on the same date as it issues notice confirming the new
expiry date of the Warrants.
The Units will be offered by way of a short form prospectus to
be filed in all of the provinces of Canada. The Offering is
scheduled to close on or about March 25,
2019. The size of the Offering was increased by agreement
between the Company and GMP.
The Offering is subject to the receipt of all necessary
regulatory and stock exchange approvals. This news release does not
constitute an offer of securities for sale in the United States. The securities being
offered have not been, nor will they be, registered under the
United States Securities Act of 1933, as amended, and such
securities may not be offered or sold within the United States absent U.S. registration or
an applicable exemption from U.S. registration requirements.
For more information, please visit
www.dronedeliverycanada.com.
About Drone Delivery Canada
Drone Delivery Canada is a drone technology company focused on
the design, development and implementation of its proprietary
logistics software platform, using drones. The Company's platform
will be used as Software as a Service (SaaS) for government and
corporate organizations and looks to derive revenue from
Integration fees, Set Up fees and Drone Delivery Flights based upon
a take or pay model nationwide.
Drone Delivery Canada Corp. is a publicly listed company trading
on the TSX.V Venture Exchange under the symbol FLT, and on the U.S.
OTC Q B market under the symbol TAKOF.
Forward Looking Statements
Certain information set forth in this news release may contain
forward-looking information that involves substantial known and
unknown risks and uncertainties. This forward-looking information
is 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. 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 information. The parties undertake no
obligation to update forward-looking information except as
otherwise may be required by applicable securities law.
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.
SOURCE Drone Delivery Canada Corp.