HEMOSTEMIX
ANNOUNCES CLOSING
OF UNIT PRIVATE
PLACEMENT
May
10,
2021, Calgary, Alberta --
InvestorsHub NewsWire -- Hemostemix
Inc.
("Hemostemix"
or the "Company")
(TSXV: HEM; OTC: HMTXF) announces it has closed its
previously announced non-brokered private
placement of units ("Units")
announced
on April 9,
2021, for gross proceeds
of $440,031.90
(the
"Offering").
The
Offering consisted
of the
issuance of an aggregate of 1,257,234
Units at
a price of $0.35 per
Unit. Each Unit consists of
one common
share
in
the
capital
of
the
Company
("Common
Share")
and
one
transferable
common
share
purchase
warrant
("Warrant"),
with
each
full
Warrant
entitling the holder to acquire one Common Share at a price of
$0.40
per
Common Share for a period of 24
months
from the closing of the Offering, subject to the accelerated expiry
provision described below.
If, on
any 10 consecutive trading days occurring after four
months and one day has elapsed following the
closing date of
the Offering, the closing
sales price of the Common Shares (or the closing
bid, if no sales were reported on a trading day)
as quoted on the TSX Venture Exchange
("Exchange")
is
greater than $0.48
per
Common Share, the Company may provide notice in writing to the
holders of the Warrants by issuance of a
press release that the expiry date of
the Warrants will be accelerated to the 30th
day after
the date on which the Company issues such press release.
In
connection with the Offering, the Company paid eligible finders
aggregate cash finders fees of approximately $26,082.56
and
issued 74,522
finder's
options to purchase Common Shares
of
the
Company at an exercise price of $0.35 per Common Share
within 24
months
from the closing date of the Offering.
Proceeds
from the
Offering are expected to be used to pay finder fees
payable in connection with the Offering,
clinical
trial costs accounts payable and for general working capital
purposes.
The participation
of certain
directors
in the
Offering constitutes a "related party transaction" within the
meaning of Multilateral Instrument 61-101 - Protection
of Minority Security Holders in Special Transactions
("MI
61-101") and the policies
of the TSXV. The Company is relying upon the exemptions from the
formal valuation and minority shareholder approval requirements
pursuant to sections 5.5(b) and 5.7(1)(a), respectively, of MI
61-101 on the basis that the Company is not listed on a specified
stock exchange and, at the time the Offering was agreed to, neither
the fair market value of the subject matter of, nor the fair market
value of the consideration for, the transaction insofar as it
involves an
interested
party (within the meaning
of MI 61-101) in the Offering, exceeds 25% of the Company's market
capitalization calculated in accordance with MI 61-101.
The Offering is
subject to all necessary regulatory approvals including acceptance
from the Exchange. All securities issued in connection with the
Offering will be subject to a four-month hold period from the
closing date under applicable Canadian securities laws, in addition
to such other restrictions as may apply under applicable securities
laws of jurisdictions outside Canada.
ABOUT HEMOSTEMIX
Hemostemix is a
publicly traded autologous stem cell therapy company, founded in
2003. A winner of the World Economic Forum Technology Pioneer
Award, the Company developed and is commercializing its lead
product ACP-01 for the treatment of CLI, PAD, Angina, Ischemic
Cardiomyopathy, Dilated Cardiomyopathy
and other
conditions of ischemia. ACP-01 has been used to treat over 300
patients, and it is the subject of a randomized,
placebo-controlled, double blind trial of its safety and
efficacy in patients with advanced critical limb ischemia who have exhausted all other options to save their limb from amputation.
On October 21, 2019,
the
Company announced the results from its Phase II CLI trial abstract
presentation entitled "Autologous Stem Cell
Treatment
for
CLI
Patients
with
No
Revascularization
Options:
An
Update
of
the
Hemostemix
ACP-01
Trial
With
4.5
Year
Follow-up"
which
noted
healing
of
ulcers
and
resolution
of
ischemic
rest
pain
occurred
in
83%
of
patients,
with
outcomes
maintained for up to 4.5 years.
The
Company
owns
91
patents
across
five
patent
families
titled:
Regulating
Stem
Cells,
In
Vitro
Techniques
for
use
with
Stem
Cells, Production from Blood of Cells of Neural Lineage, and
Automated Cell Therapy. For more information, please visit
www.hemostemix.com.
For further information, please contact:
Thomas
Smeenk,
President, CEO &
Founder
Suite
1150, 707 – 7th
Avenue
SW
Calgary,
Alberta T2P 3H6
Phone:
905-580-4170
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined under the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Forward-Looking
Statements
This
release
may
contain
forward-looking
statements.
Forward-looking
statements
are
statements
that
are
not
historical
facts
and
are
generally,
but
not
always, identified
by
the
words
"expects,"
"plans,"
"anticipates,"
"believes,"
"intends,"
"estimates,"
"projects,"
"potential,"
and
similar
expressions,
or that events or conditions "will," "would," "may," "could," or
"should" occur. Although Hemostemix believes the expectations
expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees
of
future performance and actual
results may
differ materially
from
those
in
forward-looking
statements.
Forward-looking
statements
are
based
on
the
beliefs,
estimates,
and
opinions
of
Hemostemix
management on
the
date
such
statements
were
made.
By
their
nature
forward-looking
statements
are
subject
to
known
and
unknown
risks,
uncertainties,
and other factors which may cause actual results, events
or
developments to be materially different from any future results,
events or developments expressed or implied by such forward-looking
statements. Such factors include, but are not limited to, the
Company's ability to fund operations and access the
capital
required
to
continue
operations
including
closing
additional
tranches
of
the
Offering
or
additional financings,
the
Company's
stage
of
development,
the
ability
to complete its current CLI clinical trial, complete a
midpoint
clinical
trial analysis and futility analysis and the results of such,
future clinical trials and results, long-term capital requirements
and future developments in the Company's markets and the markets in
which it expects to compete, risks associated with
its
business
affairs including contracts, litigation, strategic
alliances
and
their
impacts
including the entering
of new
markets
on
the
Company's
operations.
Each
factor
should
be
considered
carefully
and
readers
are
cautioned
not
to
place
undue
reliance
on
such
forward-looking
statements. Hemostemix
expressly
disclaims
any
intention
or
obligation
to update
or
revise
any
forward-looking
statements
whether
as
a
result
of
new
information,
future
events,
or
otherwise.
Additional
information
identifying
risks and
uncertainties
are
contained
in
the
Company's
filing
with
the
Canadian
securities
regulators,
which
filings
are
available
at
www.sedar.com.