Redishred Capital Corp. Closes Bought Deal Private Placement
Thursday, July 4, 2019 9:34 AM
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
MISSISSAUGA, ONTARIO / ACCESSWIRE / July 4, 2019 / RediShred Capital Corp. (TSXV: KUT) (the "Company") is pleased to announce that it has completed its previously announced bought deal private placement offering of common shares ("Common Shares") with a syndicate of underwriters led by Acumen Capital Finance Partners Limited ("Acumen" or the "Lead Underwriter") and including P.I. Financial Corp., (together with the Lead Underwriter, the "Underwriters"). A total of 11,842,000 Common Shares were issued at a price of $0.95 per Common Share for total gross proceeds of $11,249,900 (the "Offering"), which includes proceeds from the full exercise of an over-allotment option to purchase an additional 2,892,000 Common Shares.
The net proceeds of the Offering will be used to fund future acquisitions and for general corporate purposes. A fee was paid to the Underwriters as a commission for the Offering in the amount of $663,210, plus an amount to cover additional expenses. All shares issued pursuant to the private placement are subject to a statutory hold period of four months and one day in accordance with applicable securities legislation, expiring November 5, 2019. Officers and Directors of RediShred subscribed for 278,600 Common Shares of the Offering.
About Redishred Capital Corp
Redishred Capital Corp is the owner of the PROSHRED® trademarks and intellectual property in the United States and Internationally. PROSHRED® shreds and recycles confidential documents and proprietary materials for thousands of customers in the United States in all industry sectors. PROSHRED® is a pioneer in the mobile document destruction and recycling industry and has the ISO 9001 certification. It is PROSHRED®'s vision to be the 'system of choice' and provide shredding and recycling services on a global basis. PROSHRED® currently services over 40 markets in the United States. Redishred Capital Corp is publicly traded on the TSX Venture Exchange (TSXV: KUT). Additional information on Redishred can be found at: www.redishred.com.
FOR FURTHER INFORMATION PLEASE CONTACT:
Redishred Capital Corp. (TSX.V - KUT)
Jeffrey Hasham, MBA, CPA, CA
Chief Executive Officer
Phone: (416) 849-3469 Fax: (905) 812-9448
Redishred Capital Corp. (TSX.V - KUT)
Kasia Pawluk, CPA, CA
Chief Financial Officer
Phone: (416) 204-0076 Fax: (905) 812-9448
Note: Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
None of the securities issued in connection with the financing will be registered under the United States Securities Act of 1933, as amended (the "1933 Act"), and none of them may be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act. This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of the securities in any state where such offer, solicitation, or sale would be unlawful.
This news release contains forward looking statements that reflect the current expectations of management of Redishred and Redishred's future results, performance, achievements, prospects and opportunities. Wherever possible, words such as "may", "will", "estimate", "believe", "expect", "intend" and similar expressions have been used to identify these forward looking statements. These statements reflect current beliefs and are based on information currently available to management of Redishred. Forward looking statements necessarily involve known and unknown risks and uncertainties. A number of factors, including those discussed in the 2018 management discussion and analysis under "Risk Factors", could cause actual results, performance, achievements, prospects or opportunities to differ materially from the results discussed or implied in the forward looking statements. These factors should be considered carefully and a reader should not place undue reliance on the forward looking statements. There can be no assurance that the expectations of management of Redishred will prove to be correct. Readers are cautioned that such forward looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from these statements. Redishred can give no assurance that actual results will be consistent with these forward-looking statements.
SOURCE: Redishred Capital Corp.