Canaccord Genuity Acquisition Corp. Files Final Prospectus for Special Purpose Acquisition Company Initial Public Offering

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRES OR DISSEMINATION IN THE UNITED STATES/

TORONTO, July 25, 2017 /CNW/ - Canaccord Genuity Acquisition Corp. ("CGAC") has filed a final prospectus with the securities regulatory authorities in each of the provinces and territories of Canada (other than Quebec) in respect of its initial public offering (the "Offering"). The Offering is for 10,000,000 Class A Restricted Voting Units of CGAC at an offering price of $3.00 per unit, for aggregate proceeds of $30,000,000. CGAC has granted the underwriters an over-allotment option to purchase up to an additional 1,500,000 Class A Restricted Voting Units on the same terms and conditions, exercisable in whole or in part up to 30 days following closing of the Offering (the "Over-Allotment Option"). The proceeds of the Offering (along with the proceeds from any exercise of the Over-Allotment Option) will be placed in escrow and will only be released upon the satisfaction of certain prescribed conditions.

CGAC is a newly organized special purpose acquisition corporation formed for the purpose of effecting an acquisition of one or more businesses. CGAC intends to target a growth company with an enterprise value of between $50 million and $250 million for its qualifying acquisition, although there is no limit on the size, industry or geographic region of the acquisition. The acquisition target is expected to be an operating business that would benefit from being a public company.

Prior to the closing of CGAC's qualifying acquisition, the Class A Restricted Voting Units will trade as a unit and may only be redeemed as a unit. Each Class A Restricted Voting Unit will separate following the closing of the qualifying acquisition into one Common Share and one warrant (a "Warrant"). Each Warrant will entitle the holder to purchase one Common Share of CGAC for a purchase price of $3.45 commencing 30 days after the closing date of CGAC's qualifying acquisition and will expire five years after the closing date of CGAC's qualifying acquisition. Upon certain events, the Class A Restricted Voting Units will be redeemable by holders for a pro-rata portion of the escrow account, net of taxes payable and other prescribed amounts, as further described in the final prospectus.

The sponsor of CGAC is CG Investments Inc. ("CGII"), a wholly-owned subsidiary of Canaccord Genuity Group Inc. CGII intends to purchase, assuming no exercise of the over-allotment option, 833,333 Class B Units of CGAC at an offering price of $3.00 per unit for aggregate proceeds of $2,500,000, concurrently with the closing of the Offering. Each Class B Unit will consist of one Class B Share and one Warrant.

CGAC founders, management team, and board of directors include:

  • William Ainley – Lead Director of CGAG
    • Partner at Davies Ward Phillips & Vineberg LLP;
  • Brad Cameron – Chairman and Chief Executive Officer of CGAC
    • Senior Advisor to Canaccord Genuity's investment banking group;
  • Daniel Chung – Chief Financial Officer of CGAC
    • Vice President, Finance – Business Analysis & Strategy Development at Canaccord Genuity Corp.;
  • Kent Farrell – Director of CGAC
    • Managing Partner at Trimaven Capital Advisors;
  • Julia Gray – Corporate Secretary of CGAC
    • Associate General Counsel, Vice-President Legal and Assistant Corporate Secretary for Canaccord Genuity Group Inc.; and
  • James Merkur – Director of CGAC
    • Chief Executive Officer of Logan Peak Capital, Inc.

The closing of the Offering is expected to occur on or about Tuesday, August 1, 2017.

The Toronto Stock Exchange has conditionally approved the listing of the Class A Restricted Voting Units under the symbol CGAC.UN.

The Offering is being distributed by a syndicate of underwriters led by Canaccord Genuity Corp. and Cormark Securities Inc., as independent underwriter.

Goodmans LLP is acting as legal counsel to CGAC and CGII. Blake, Cassels & Graydon LLP is acting as legal counsel to the Underwriters.

The Offering is only being made to the public by prospectus. The prospectus contains important detailed information about the securities being offered. Copies of the prospectus may be obtained from any of the underwriters listed above. Investors should read the prospectus before making an investment decision.

This press release is not an offer of securities for sale in the United States, and the securities may not be offered or sold in the United States absent registration or an exemption from registration. The securities have not been and will not be registered under the United States Securities Act of 1933. Copies of the final prospectus are available on SEDAR at www.sedar.com.

About Canaccord Genuity Acquisition Corp.

Canaccord Genuity Acquisition Corp. is a newly organized special purpose acquisition corporation incorporated under the laws of the Province of Ontario for the purpose of effecting a qualifying acquisition.

About CG Investments Inc.

CG Investments Inc. is the sponsor of CGAC. CG Investments Inc. is a wholly-owned subsidiary of Canaccord Genuity Group Inc., a leading independent, full-service financial services firm, with operations in two principal segments of the securities industry: capital markets and wealth management.

Forward Looking Statements

This press release may contain forward‐looking information within the meaning of applicable securities legislation, which reflects CGII's and CGAC's current expectations regarding future events. Forward‐looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond CGII's or CGAC's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward‐looking information. Such risks and uncertainties include, but are not limited to, failure to complete the Offering and related transactions, and the factors discussed under "Risk Factors" in the final prospectus of CGAC dated July 24, 2017, a copy of which is available on SEDAR at www.sedar.com. Neither CGII nor CGAC undertake any obligation to update such forward‐looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

SOURCE Canaccord Genuity Acquisition Corp.

For further information: Canaccord Genuity Acquisition Corp., Brad Cameron, Chairman and Chief Executive Officer, (416) 687-5364


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