Posted: Wednesday, April 8, 2015
UrtheCast Corp. (TSX:UR) ("UrtheCast" or the "Company") is pleased to announce that it has entered into an agreement with Canaccord Genuity Corp. and Clarus Securities Inc. on behalf of a syndicate of underwriters (the "Underwriters") pursuant to which the Underwriters have agreed to purchase 7,500,000 common shares ("Shares") from the treasury of the Company, at a price of $2.00 per Share for aggregate gross proceeds of $15,000,000 and offer them to the public by way of prospectus supplement (the "Offering").
In addition, the Company has granted the Underwriters an option ("Over-Allotment Option") to purchase up to an additional 1,125,000 Shares from the treasury of the Company at the offering price exercisable at any time up to 30 days following Closing (as defined below), for market stabilization purposes and to cover over-allotments, if any.
The Company intends to use the net proceeds of the Offering for general corporate purposes, including funding the Company's growth strategy.
Closing of the Offering is expected to occur on or about April 16, 2015 and is subject to regulatory approval including that of the Toronto Stock Exchange.
The Company has filed a base shelf prospectus with the Canadian Securities Administrators in the provinces of Alberta, British Columbia and Ontario. The Shares will be offered by way of a prospectus supplement supplementing the base shelf prospectus in the provinces of Alberta, British Columbia and Ontario, and may be offered in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended, and certain other jurisdictions.
This press release does not constitute an offer of securities for sale in the United States. The Shares 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.
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