MONTREAL, Nov. 30 /CNW Telbec/ - Nstein Technologies Inc. (the "Company")
(TSX-V: EIN), a leader in online publishing solutions for newspapers,
magazines and online content providers, is pleased to confirm today the
closing of its previously announced bought deal private placement of
8,000,000 special warrants at a price of $1.00 per special warrant, for
aggregate gross proceeds of $8,000,000 (the "Offering"). The Offering was made
through a syndicate of underwriters led by Desjardins Securities Inc. and
including TD Securities Inc. and Jennings Capital Inc. (collectively, the
Each special warrant entitles the holder thereof to receive one common
share of the Company on the exercise or deemed exercise of the special
warrant. The special warrants are exercisable by the holder in whole or in
part at any time after the closing of the Offering (the "Closing") for no
additional consideration and all unexercised special warrants will be deemed
to be exercised on the earlier of (a) four (4) months and a day following the
Closing, and (b) that day which is three business days after a receipt is
issued by the securities regulatory authorities in Canada for a final
prospectus qualifying the common shares to be issued upon the exercise of the
special warrants. The Company shall use its reasonable best efforts to obtain
such receipt for a final prospectus within the next 90 days, otherwise, each
special warrant will entitle its holder to acquire one common share and an
additional 0.1 of a common share without further payment. Until the receipt is
issued for the final prospectus, the special warrants as well as the common
shares issuable upon exercise thereof are subject to a 4-month hold period
under applicable Canadian securities laws.
Nstein Technologies Inc. will use the net proceeds of the Offering to
accelerate the deployment of the required infrastructure to better serve its
fast growing number of clients and develop the channel partner network to
continue its growth, for working capital purposes and for potential
acquisitions. The Underwriters have received compensation comprised of a cash
fee equal to 354,000$ and 354,000 broker warrants, each entitling its holder
to acquire one special warrant or one common share at the price of $1.00 for a
period of 2 years from the Closing date.
The following insiders of the Company have purchased a total of
2,000,000 special warrants: JLA Ventures, Mr. Luc Filiatreault and Mr. André
Courtemanche (via VIAVAR Capital Inc., a company controlled by him). Those
insiders have purchased the special warrants for investment purposes only and
said purchases will not materially affect control of the Company.
Consequently, the Offering may be deemed to constitute a related party
transaction pursuant to securities laws.
About Nstein Technologies Inc.
Nstein Technologies (TSX-V: EIN) develops and markets multilingual
solutions that power online publishing for the most prestigious newspapers,
magazines, and content-driven organizations. Nstein's solutions generate new
revenue opportunities and reduce operational costs by enabling the
centralization, management and automated indexing of digital assets. Nstein
partners with clients to design a complete online strategy for success using
publishing industry best practices for the implementation of its Web Content
Management, Digital Asset Management and Text Mining Engine products.
- The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release.
- Any statement that appears prospective shall not be interpreted as
For further information:
For further information: Investor Relations: Bruno Martel, Chief
Financial Officer, Nstein Technologies Inc., (514) 908-5406,
email@example.com; Media: Rina Marchand, Marketing Manager, Nstein
Technologies, (514) 908-5406, firstname.lastname@example.org