TORONTO, June 17, 2016 /CNW/ - Canaccord Genuity Group Inc. (the "Company") (TSX: CF) is pleased to announce that it has completed the first closing of its previously announced non-brokered private placement ("Private Placement"). In the first closing, the Company issued a total of 6,346,869 units (each, a "Unit") at a price of C$4.17 per Unit for aggregate proceeds to the Company of C$26,466,444.
Each Unit consists of one common share ("Common Share") of the Company and one-half of one Common Share purchase warrant ("Warrant"). Each whole Warrant will entitle the holder to acquire one Common Share at an exercise price of C$4.99 for the period from June 17, 2019, to December 17, 2019. Warrants will not be listed and will not be transferable.
Common Shares issued under the Private Placement are subject to a hold period of up three years, with one-third of the Common Shares issued to each purchaser becoming freely tradeable on each of June 17, 2017, 2018 and 2019.
The Private Placement is subject to a maximum size of 6,876,824 Units and the Company anticipates completing up to the maximum size in one or more additional closings.
The Company will use the proceeds of the Private Placement to fund the Company's independent employee benefits trusts, established under its long term incentive plan, which will purchase common shares in the market to cover grants of restricted share units to those employees who have participated in the Private Placement.
ABOUT CANACCORD GENUITY GROUP INC.:
Through its principal subsidiaries, the Company is a leading independent, full-service financial services firm, with operations in two principal segments of the securities industry: wealth management and capital markets. Since its establishment in 1950, the Company has been driven by an unwavering commitment to building lasting client relationships. We achieve this by generating value for our individual, institutional and corporate clients through comprehensive investment solutions, brokerage services and investment banking services. The Company has offices in 10 countries worldwide, including Wealth Management offices located in Canada, Australia, the UK, Guernsey, Jersey, and the Isle of Man. Canaccord Genuity, the international capital markets division, operates in Canada, the US, the UK, France, Ireland, Hong Kong, China, Australia and Dubai. To us there are no foreign markets.
Canaccord Genuity Group Inc. is publicly traded under the symbol CF on the TSX.
SOURCE Canaccord Genuity Group Inc.
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For further information: Christina Marinoff, Vice President, Investor Relations & Communications, Phone: 416-687-5507, email: email@example.com