/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./
VANCOUVER, BC, April 9, 2021
/CNW/ - NEXE Innovations Inc. ("NEXE" or the "Company"), is pleased
to announce that it has closed its previously announced bought deal
public offering of units of the Company (the "Units") with a
syndicate of underwriters led by Canaccord Genuity Corp. (the
"Underwriters"). The Underwriters exercised the
over-allotment in full and as a result the Company issued a total
of 17,250,000 Units at a price of C$2.00 per Unit (the "Offering Price") for
aggregate gross proceeds to the Company of C$34.5 million (the "Offering").
NEXE Innovations Chief Executive Officer and Director,
Darren Footz states, "We thank
the syndicate of underwriters, new investors and our existing
shareholders for their support via this oversubscribed
financing. The strong demand for this public offering is a
testament to our plant-based compostable technology and our
upcoming growth plans. With a strong balance sheet and over
$50 million in cash, we plan to be
very active in increasing production capacity, developing new
products and carrying out strategic acquisitions."
Each Unit consists of one common share of the Company (a "Common
Share") and one-half of one Common Share purchase warrant (a
"Warrant"). Each whole Warrant will be exercisable to acquire one
Common Share (a "Warrant Share") until April
9, 2023 at an exercise price of C$2.50 per Warrant Share.
The Company paid the syndicate of Underwriters a cash commission
of $1,905,000 and issued to the
Underwriters an aggregate of 952,500 underwriter warrants, each
exercisable into one Common Share at a price of C$2.00 per Common Share until April 9, 2023.
The Company intends to use the net proceeds of the Offering to
increase production capacity, strategic acquisitions, new product
developments and for general corporate purposes.
The Units were issued pursuant to a prospectus supplement dated
April 7, 2021 that is filed with the
securities regulatory authorities in all provinces of Canada except Quebec under Company's base shelf prospectus
dated March 29, 2021.
The securities being offered 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 in the United States or to, or for the account or
benefit of, U.S. persons absent registration or an applicable
exemption from the registration requirements. This news release
will not constitute an offer to sell or the solicitation of an
offer to buy nor will there be any sale of the securities in any
state in which such offer, solicitation or sale would be
unlawful.
About NEXE Innovations Inc.
NEXE Innovations Inc. is a leader in plant-based compostable
technology and advanced materials manufacturing based in
British Columbia, Canada. The
company has a patent on a fully compostable, plant-based,
single-serve coffee pods for use in leading single-serve coffee
machines. The proprietary NEXE pod is designed to reduce the
significant environmental impact caused by single-serve pods,
>40 billion of which are discarded every year. NEXE is
well-positioned to meet the growing demand for environmentally
friendly and sustainable products in the single-serve coffee sector
and beyond.
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Social
Media
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Cautionary Note Regarding Forward-Looking Statements
Certain statements in this release are forward-looking
statements or information, which include the proposed use of
proceeds, commercialization of the NEXE PODs, including the NEXE
Nespresso Compatible Pod, development of the NEXE Mask, and
increase production capacity, create other environmentally friendly
compostable packaging opportunities, development of technologies,
the potential of the Company's technology, future plans, regulatory
approvals and other matters. Forward-looking statements consist of
statements that are not purely historical, including any statements
regarding beliefs, plans, expectations or intentions regarding the
future. Such information can generally be identified by the use of
forwarding-looking wording such as "may", "expect", "estimate",
"anticipate", "intend", "believe" and "continue" or the negative
thereof or similar variations. The reader is cautioned that
assumptions used in the preparation of any forward-looking
information may prove to be incorrect. Events or circumstances may
cause actual results to differ materially from those predicted, as
a result of numerous known and unknown risks, uncertainties, and
other factors, many of which are beyond the control of the Company,
including but not limited to, business, economic and capital market
conditions, the ability to manage operating expenses, consumer
demand for and sentiment towards the Company's products, security
threats, and dependence on key personnel. Such statements and
information are based on numerous assumptions regarding present and
future business strategies and the environment in which the Company
will operate in the future, including the demand for its products,
anticipated costs, and the ability to achieve goals. Factors that
could cause the actual results to differ materially from those in
forward-looking statements include, failure to obtain regulatory
approval, the continued availability of capital and financing,
equipment failures, litigation, increase in operating costs, the
impact of Covid-19 or other viruses and diseases on the Company's
ability to operate, competition, failure of counterparties to
perform their contractual obligations, government regulations, loss
of key employees and consultants, and general economic, market or
business conditions. Forward-looking statements contained in this
news release are expressly qualified by this cautionary statement.
The reader is cautioned not to place undue reliance on any
forward-looking information. The forward-looking statements
contained in this news release are made as of the date of this news
release. Except as required by law, the Company disclaims any
intention and assumes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
SOURCE Nexe Innovations Inc.