Aurora Cannabis to Participate as Lead
Investor
VANCOUVER, Feb. 13, 2017 /CNW/ - Radient Technologies
("Radient") (TSX-V: RTI) is pleased to announce a brokered private
placement for up to $6 million, with
Aurora Cannabis ("Aurora") (TSX-V: ACB) participating as a lead
investor.
Radient has entered into an agreement with Canaccord
Genuity Corp. (the "Agent") with respect to a brokered private
placement of up to 13,333,333 units (the "Units") at $0.45 per unit for aggregate proceeds of up to
$6 million (the "Offering") to be
conducted on a commercially reasonable efforts basis, subject to
satisfactory due diligence. The Agent has also been granted the
option (the "Over-Allotment Option") to purchase up to an
additional 15% of the number of Units issuable under the
Offering.
Aurora has advised Radient that it intends to participate in the
Offering in an amount up to $1.25
million, approximately 22% of the total proceeds.
The proceeds of the Offering will be used for the acquisition of
analytical and production equipment, improvements to the plant to
accommodate cannabinoid production and general working capital.
Each Unit is comprised of one common share of Radient (a "Common
Share") and one half Common Share purchase warrant (each whole
warrant, a "Unit Warrant"), with each whole Unit Warrant entitling
the holder to subscribe for one additional Common Share at a price
of $0.70 per Common Share until the
date that is 24 months from the date of issuance.
As compensation for its services, Radient will issue to the
Agent that number of non-transferable common share purchase
warrants ("Broker Warrants") equal to 7% of the total number of
Units sold under the Offering (including any Units issued upon
exercise of the Over-Allotment Option), other than in respect of
orders from "president's list" purchasers on which the Agent will
receive Broker Warrants equal to 3.5% of the Units sold. Each
Broker Warrant will entitle the Agent to acquire one Unit at
an exercise price of $0.45 for a
period of 24 months following the completion of the Offering. The
Agent will also receive a cash commission of up to 7% of the gross
proceeds of the Offering (including in respect of any exercise of
the Over-Allotment Option), other than in respect of orders from
"president's list", purchasers on which a reduced commission will
be paid and will comprise of finders fees in accordance with the
policies of the TSX Venture Exchange.
The Offering is subject to the receipt of all necessary
approvals, including the final approval of the TSX Venture
Exchange. All securities issued in connection with the Offering are
subject to a statutory four-month hold period.
About Radient
Radient extracts natural compounds from a range of biological
materials using its proprietary MAPTM natural product
extraction technology platform which provides superior customer
outcomes in terms of ingredient purity, yield, and cost. From its
initial 20,000 square foot manufacturing plant in Edmonton, Alberta, Radient serves market
leaders in industries that include pharmaceutical, food, beverage,
natural health, personal care and biofuel markets. Visit
www.radientinc.com for more information.
On behalf of the
Board of Directors,
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RADIENT TECHNOLOGIES
INC.
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|
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Dennis
Taschuck
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Prakash
Hariharan
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CEO
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CFO
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This news release contains certain "forward-looking
statements" within the meaning of such statements under applicable
securities law. The forward-looking statements include statements
about the the Offering and the use of proceeds thereof.
Forward-looking statements are frequently characterized by words
such as "plan", "continue", "expect", "project", "intend",
"believe", "anticipate", "estimate", "may", "will", "potential",
"proposed" and other similar words, or statements that certain
events or conditions "may" or "will" occur. These statements are
only predictions. Various assumptions were used in drawing the
conclusions or making the projections contained in the
forward-looking statements throughout this news release.
Forward-looking statements are based on the opinions and estimates
of management at the date the statements are made, and are subject
to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from
those projected in the forward-looking statements. The Company is
under no obligation, and 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,
except as expressly required by applicable law.
The 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.
SOURCE Radient Technologies Inc.