VANCOUVER, B.C., November 27 /CNW/ - GLG Life Tech Corporation (CNQ:
GLGT) (the "Corporation"), announced today that it has engaged Clarus
Securities Inc. (the "Agent") in connection with a proposed private placement,
on a fully marketed, best efforts basis, of 10,000,000 units (the "Units") of
the Corporation at a price of $3.00 per Unit, for gross proceeds of
$30,000,000 (the "Offering"). In addition, the Corporation will provide the
Agent with an option to purchase up to an additional 1,500,000 Units at a
price of $3.00 per Unit for a period of 30 days from the closing of the
Each Unit will consist of one (1) common share in the capital of the
Corporation (a "Common Share") and one-half (1/2) of one Common Share purchase
warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase
one (1) Common Share of the Corporation at an exercise price of $4.50 per
Common Share for a period of eighteen (18) months from the closing of the
The Agent will receive a cash commission equal to six (6) percent of the
gross proceeds of the Offering and will be granted a number of compensation
options equal to six (6) percent of the total number of Units sold pursuant to
the Offering. Each compensation option will entitle the holder thereof to
acquire one Unit at an exercise price of $3.00 per Unit on the same terms and
conditions of the Offering, for a period of eighteen (18) months from the
closing of the Offering.
The net proceeds of the Offering are intended to be used by the
Corporation for plant construction and expansion, retirement of convertible
debt, working capital and general corporate purposes.
The Offering is subject to the receipt of all necessary regulatory and
shareholder approvals, including the approval of the CNQ Exchange. The
Offering is also subject to the Corporation obtaining a listing on, and all
necessary approvals from, the Toronto Stock Exchange. The Units will be
offered in certain provinces of Canada by way of private placement pursuant to
applicable prospectus exemptions and may be offered to U.S. purchasers on a
private placement basis pursuant to an exemption from the registration
requirements in Rule 144A or Regulation D of the United States Securities Act
of 1933, as amended. The securities issued pursuant to the Offering will be
subject to a four (4) month hold period from the date of the closing of the
Offering. The closing of the Offering is expected to occur on or about
December 11, 2007.
This news release does not constitute an offer to sell or a solicitation
of an offer to sell any of securities in the United States. The securities
have not been and will not be registered under the United States Securities
Act of 1933, as amended (the "U.S. Securities Act") or any state securities
laws and may not be offered or sold within the United States or to U.S.
Persons unless registered under the U.S. Securities Act and applicable state
securities laws or an exemption from such registration is available.
About GLG Life Tech Corporation
GLG Life Tech Corporation specializes in growing, refining, and producing
high grade stevia, a natural, zero-calorie sweetener. Through its wholly owned
subsidiary, Qingdao Runde Biotechnology Company, Ltd., GLG has integrated its
stevia operations and now controls over 80% of high quality stevia production
in China. The Corporation is also engaged in the distribution of nutritional
products in China and holds exclusive agreements with Weider Global Nutrition
and Shandong Yong He Tang Health Products Chain Stores Ltd., whose franchise
network includes over 1,200 locations. Please visit www.glglifetech.com.
Forward-looking statements: Statements in this press release relating to
plans, strategies, projections of results of specific activities or
investments, and other statements that are not descriptions of historical
facts may be forward-looking statements. Forward-looking information is
inherently subject to risks and uncertainties, and actual results could differ
materially from those currently anticipated due to a number of factors, which
include, but are not limited to, risk factors inherent in doing business.
Forward-looking statements may be identified by terms such as ``may,''
``will,'' ``should,'' ``could,'' ``expects,'' ``plans,'' ``intends,''
``anticipates,'' ``believes,'' ``estimates,'' ``predicts,'' ``forecasts,''
``potential,'' or ``continue,'' or similar terms or the negatives of these
terms. Although we believe that the expectations reflected in the
forward-looking statements are reasonable, we cannot guarantee future results,
levels of activity, performance, or achievements. The Corporation has no
obligation to update these forward-looking statements.
For further information:
For further information: GLG Life Tech Corporation Brian Meadows, +1
604-641-1368 Chief Financial Officer Fax: +1 604- 438-8107 firstname.lastname@example.org