/THIS NEWS RELEASE IS INTENDED FOR
DISTRIBUTION IN CANADA ONLY AND IS
NOT AUTHORIZED FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES./
CALGARY, Nov. 30, 2016 /CNW/ - Mosaic Capital Corporation
("Mosaic") (TSX-V Symbols: M, M.PR.A and M.DB)
announced today that the underwriting syndicate of its previously
announced public offering (the "Offering") of $15,000,000 principal amount of 7% convertible
unsecured senior subordinated debentures (the "Debentures")
has partially exercised the over-allotment option (the
"Over-Allotment Option") previously disclosed in Mosaic's
news release dated November 10, 2016,
acquiring $626,000 principal amount
of the total $2,250,000 principal
amount of Debentures issuable upon exercise of the Over-Allotment
Option. This issuance increases the total gross proceeds from the
Offering to $15,626,000.
The Offering was conducted through a syndicate of underwriters
led by Canaccord Genuity Corp. and also included GMP Securities
L.P., Raymond James Ltd., Echelon Wealth Partners Inc., Industrial
Alliance Securities Inc., AltaCorp Capital Inc., Cormark Securities
Inc., Haywood Securities Inc. and Mackie Research Capital
Corporation.
As with the net proceeds from the Offering that closed on
November 10, 2016, the net proceeds
from the exercise of the Over-Allotment Option will be used for
general corporate purposes including future acquisitions, paying
down existing credit facilities and working capital.
The Debentures are listed and posted for trading on the TSX
Venture Exchange under the symbol M.DB. Mosaic now has $15,626,000 aggregate principal amount of
Debentures issued and outstanding.
The Debentures issued under the Offering were offered by way of
a short form prospectus supplement dated November 4, 2016 to its short form base shelf
prospectus dated September 23, 2016,
each of which has been filed under Mosaic's profile on SEDAR at
www.sedar.com. For more information respecting the Debentures, see
the trust indenture between Mosaic and Computershare Trust Company
of Canada dated November 10, 2016, a copy of which has been filed
under Mosaic's profile on SEDAR at www.sedar.com.
The Debentures and the common shares of Mosaic issuable on
conversion thereof have not been, nor will they be, registered
under the United States Securities Act of 1933, as amended, and may
not be offered or sold within the United
States or to, or for the account or benefit of, U.S. persons
absent U.S. registration or an applicable exemption from the U.S.
registration requirements. This news release does not constitute an
offer for sale or the solicitation of an offer to buy securities in
the United States or in any
jurisdiction in which such offer, solicitation or sale would be
unlawful.
ABOUT MOSAIC CAPITAL CORPORATION
Mosaic is a Canadian investment company that owns a portfolio of
established businesses which span a diverse range of industries and
geographies. Mosaic's strategy is to create long-term value
for its shareholders through accretive acquisitions, long-term
portfolio ownership, sustained cash flows and organic portfolio
growth. Mosaic achieves its objectives by maintaining
financial discipline, acquiring businesses at attractive
valuations, performing extensive acquisition due diligence,
utilizing creative transaction structuring and working closely with
subsidiary businesses after acquisition.
Neither the 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.
FORWARD-LOOKING INFORMATION
This news release contains forward-looking information and
statements within the meaning of applicable Canadian securities
laws (herein referred to as "forward-looking statements") that
involve known and unknown risks, uncertainties and other factors
that may cause actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. All information and statements in this news
release which are not statements of historical fact may be
forward-looking statements. The words "believe", "expect",
"intend", "estimate", "anticipate", "project", "scheduled", and
similar expressions, as well as future or conditional verbs such as
"will", "should", "would", and "could" often identify
forward-looking statements. In particular, forward-looking
statements in this news release include, but are not limited to:
statements with respect to the anticipated use of net proceeds of
the Offering, including the net proceeds from the exercise of the
Over-Allotment Option. Such statements or information are only
predictions and reflect the current beliefs of management with
respect to future events and are based on information currently
available to management. Actual results and events may differ
materially from those contemplated by these forward-looking
statements due to these statements being subject to a number of
risks and uncertainties.
Undue reliance should not be placed on these forward-looking
statements as there can be no assurance that the plans, intentions
or expectations upon which they are based will occur. By their
nature forward-looking statements involve assumptions and known and
unknown risks and uncertainties, both general and specific, that
contribute to the possibility that the predictions and other
forward-looking statements will not occur. Some of the assumptions
made by Mosaic, upon which such forward-looking statements are
based include, but are not limited to: future market conditions
will not be materially different than anticipated by Mosaic; there
will be no material changes to government and environmental
regulations affecting Mosaic or its operations; and the business
operations of the operating businesses of Mosaic will continue on a
basis consistent with prior years.
A number of factors could cause actual results to differ
materially from those expressed or implied by the forward-looking
statements, including, but not limited to: prevailing economic
conditions; unexpected changes in the financial markets (including
in the trading price of the securities of Mosaic); and changes in
the general economic and business conditions of one or more of
Mosaic and its subsidiaries. Should any of the risks or
uncertainties facing Mosaic and its subsidiaries materialize, or
should assumptions underlying the forward-looking statements prove
incorrect, actual results, performance, activities or achievements
could vary materially from those expressed or implied by any
forward-looking statements contained in this news release. Readers
are cautioned that the foregoing list of risks is not exhaustive.
Additional information on these and other factors that could affect
the operations or financial results of Mosaic and its subsidiaries
are included in Mosaic's short form prospectus supplement dated
November 4, 2016 to its short form
base shelf prospectus dated September 23,
2016, and Mosaic's annual information form for the year
ended December 31, 2015, a copy of
each of which is available under Mosaic's profile on SEDAR
(www.sedar.com).
Although Mosaic believes that the expectations represented by
any forward-looking-statements contained herein are reasonable
based on the information available to it on the date of this news
release, management cannot assure investors that actual results,
performance or achievements will be consistent with these
forward-looking statements. Any forward-looking statements herein
contained are made as of the date of this news release and Mosaic
does not assume any obligation to update or revise them to reflect
new information, events or circumstances, except as required by
law.
SOURCE MOSAIC CAPITAL CORPORATION