VICTORIA, BRITISH COLUMBIA (April 28, 2015) Carmanah Technologies Corporation (TSX:CMH) (the “Company” or “Carmanah”), is pleased to confirm the closing of its previously announced bought-deal offering of 5,650,000 common shares of the Company (“Shares”) at a price $5.00 per Share for aggregate gross proceeds of $28,250,000 (the “Offering”). The Shares were issued in a public offering in certain provinces of Canada pursuant to a short form prospectus dated April 23, 2015 (the “Final Prospectus”) filed with certain Canadian securities regulators, and were underwritten by a syndicate of underwriters led by Cormark Securities Inc. and including Canaccord Genuity Corp., GMP Securities L.P. and Salman Partners Inc. (collectively, the “Underwriters”).
As outlined in the Final Prospectus, it is estimated that a majority (i.e. $25,000,000) of the net proceeds of the Offering will be used to continue its growth strategy, which is expected to include potential strategic acquisitions. The balance of the net proceeds is intended to be used as set forth in the Final Prospectus.
The Underwriters have the option, exercisable in whole or in part at any time until May 13, 2015, to purchase up to an additional 750,000 Shares (the “Option”) at a price of $5.00 per Share. In the event that the Option is exercised in its entirety, the gross proceeds of the Option will be $3,750,000.
All references to “$” in this news release are Canadian dollars unless otherwise indicated.
This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the Unites 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.
Since its founding in 1996, Carmanah has become one of the most trusted names in solar technology, delivering reliable and cost-effective solar powered products and systems for industrial applications worldwide. To date, Carmanah's solutions for marine navigation, airfield ground lighting, aviation obstruction, roadway illumination, parking lot lighting, as well as on and off-grid power generation, have been successfully deployed in over 400,000 installations in 110 countries with proven performance in conditions ranging from desert heat to arctic cold.
This release may contain forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as “expects,” “intends,” “could,” “may,” “will”, “estimates” or variations of such words and phrases. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Carmanah to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. These statements, including the intended use of the net proceeds of the Offering, are based on management’s current expectations and beliefs and are subject to a number of risks and uncertainties. For additional information on these risks and uncertainties, see Carmanah’s most recently filed Annual Information Form (“AIF”) and Annual MD&A (“MD&A”), which are available on SEDAR at www.sedar.com and on the Company’s website at www.carmanah.com. The risk factors identified in the AIF and MD&A are not intended to represent a complete list of factors that could affect Carmanah. Accordingly, readers should not place undue reliance on forward-looking statements. Carmanah does not assume any obligation to update the forward-looking information contained in this press release unless required by law.