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TORONTO, Aug. 19, 2016 /CNW/ - SQI Diagnostics Inc. (TSX-V: SQD; OTCQX: SQIDF) (the "Company" or "SQI") announced that it has successfully closed its previously announced rights offering (the "Rights Offering"), raising total gross proceeds of approximately $3,121,000.
The Company issued an aggregate of 11,557,833 common shares of the Company ("Common Shares") at a subscription price of $0.27 per Common Share, representing 4,925,137 Common Shares issued pursuant to the basic subscription privilege, 5,000 Common Shares issued pursuant to the additional subscription privilege and 6,627,696 Common Shares issued to certain insiders pursuant to the stand-by purchase agreement.
After closing of the Rights Offering, there were 80,904,836 Common Shares issued and outstanding. Following closing, the stand-by purchasers own, directly or indirectly, or exercise control or direction over, approximately 50.31% of SQI's Common Shares.
SQI intends to use the net proceeds of the Rights Offering to fund the Company's product commercialization programs, sales and marketing and for general working capital purposes.
About SQI Diagnostics
SQI Diagnostics is a life sciences and diagnostics company that develops clinical grade multiplexed microarray and molecular assays run on its automated instrumentation for the pharmaceutical research, animal health, and clinical diagnostics markets. SQI develops custom research and diagnostic assays that are multiplexed; meaning the simplification, consolidation and automation of many individual tests into one. This increases sample throughput, reduces time, cost and chance for human error, and provides excellent data quality. For more information, please visit sqidiagnostics.com.
For further information please contact:
Chief Executive Officer
416.674.9500 ext. 229
Vice President of Finance
416.674.9500 ext. 277
This press release contains certain statements including, without limitation, the words "may", "plan", "will", "estimate", "continue", "anticipate", "intend", "expect", "believe", "in the process", "benefits", "leading to", "position" "possible", "is subject to" and other similar expressions which may constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements reflect the Company's current expectations and assumptions, and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. Readers are cautioned not to place undue reliance on these forward-looking statements. These forward-looking statements involve risks and uncertainties including, but not limited to: the use of proceeds from the Offering; our ability to market and sell our products including our novel multiplexing technologies and detection platforms; our ability to maintain any technical or product advantages; the success of our Diagnostic Tools and Services business and our intent to build near-term revenue streams from this business; the successful regulatory filing and receipt of regulatory approvals for our later stage quantitative diagnostic consumable kits; adverse changes in general economic conditions; international risk and currency exchange fluctuations; competitor activity; technology changes; regulatory approvals and the impact of healthcare reform legislation; and, SQI's ability to raise additional funds in the future.
Such statements, risks and uncertainties are detailed in the Company's ongoing filings with the securities regulatory authorities, and are available to the public at www.sedar.com. The Company undertakes no obligation to publicly update or revise any forward-looking statements either as a result of new information, future events or otherwise, except as required by applicable securities laws.
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 SQI Diagnostics Inc.