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OTTAWA, June 5, 2017 /CNW/ - ProntoForms Corporation (TSX.V:PFM) ("ProntoForms" or the "Company") is pleased to announce that, concurrent with its previously announced "bought deal" private placement offering (the "Brokered Offering") of units of the Company ("Units"), it intends to complete a non-brokered private placement of Units at a price of $0.38 per Unit (the "Offering Price") for aggregate gross proceeds to the Company of up to $500,000 (the "Concurrent Private Placement").
The Concurrent Private Placement is expected to close on or about June 21, 2017 (the "Closing Date") concurrently with the Brokered Offering, which consists of 11,900,000 Units at the Offering Price for aggregate gross proceeds to the Company of $4,522,000 being conducted by a syndicate of underwriters co-led by Beacon Securities Limited and PI Financial Corp.
Each Unit shall consist of one common share (a "Common Share") in the capital of the Company and one half of one common share purchase warrant (each whole warrant, a "Warrant") of the Company. Each whole Warrant shall entitle the holder thereof to acquire one Common Share at an exercise price per Common Share of $0.48 for a period of 24 months from the Closing Date.
The Company plans to use the net proceeds from the Concurrent Private Placement for working capital and general corporate purposes. The Concurrent Private Placement is subject to certain conditions including, but not limited to, the receipt of applicable regulatory approvals, including approval of the TSX Venture Exchange ("TSXV"), as well as the satisfaction of other customary closing conditions. The Units will be sold on a private placement basis pursuant to an "accredited investor" exemption or other available and agreed upon exemptions from prospectus requirements. The Units, including all underlying securities thereof, will have a hold period of four months and one day from the Closing Date.
This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.
ProntoForms is a global leader in automating mobile workflows. The Company's platform is used to collect and analyze field data with smartphones and tablets, and offers a low total cost of ownership. The Company's 3,500 customers harness the intuitive, secure and scalable solution to increase productivity, improve quality of service, and mitigate risks. ProntoForms has received a number of prominent industry awards, including the 2016 Deloitte Technology Fast 50, the 2016 CIX Public Top 20, the Ottawa Chamber of Commerce 2016 Employees' Choice Award and 2016 Best Ottawa Business Award, and the 2015 Frost & Sullivan Competitive Strategy Innovation and Leadership Award for the Mobile Forms Industry.
The Company trades on the TSXV under the symbol PFM. ProntoForms is the registered trademark of ProntoForms Inc., a wholly owned subsidiary of ProntoForms Corporation.
Certain information in this press release may constitute forward-looking information within the meaning of applicable Canadian securities legislation. For example, statements about the timing and completion of the Concurrent Private Placement, the receipt of required regulatory approvals for the Concurrent Private Placement, the expected use of proceeds from the Concurrent Private Placement, the expected closing of the "bought deal" private placement and the Company's future growth or value are forward-looking information. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results might differ materially from results suggested in any forward looking statements. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements unless and until required by securities laws applicable to the Company.
Neither 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 ProntoForms Corporation
For further information: Alvaro Pombo, Chief Executive Officer, ProntoForms Corporation, (613) 599.8288 ext. 1111, firstname.lastname@example.org; Babak Pedram, Investor Relations, Virtus Advisory Group Inc., (416) 644-5081, email@example.com