ProntoForms Corporation Announces Closing of $3.45 Million in Private Placements
OTTAWA, Canada - September 21, 2015 /CNW/ - ProntoForms Corporation (TSX.V:PFM) ("ProntoForms" or the "Company") is pleased to announce that it has closed the bought deal private placement financing (the "Offering") announced on September 2, 2015 of 9,000,000 units (the "Units"), including the full exercise of the underwriters' option, at an issue price of $0.30 (the "Offering Price") per Unit for aggregate gross proceeds to the Company of $2,700,000. The Offering was led by Beacon Securities Limited and included Global Maxfin Capital Inc. (collectively, the "Underwriters"). PowerOne Capital Markets Limited acted as the primary participant in the selling group for the Offering. Concurrent with the Offering, the Company also completed a non-brokered private placement (the "Concurrent Private Placement") with certain insiders of the Company of 2,500,000 Units at the Offering Price for additional aggregate gross proceeds to the Company of $750,000.
Each Unit consists 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 entitles the holder thereof to acquire one Common Share at an exercise price per Common Share of $0.45 for a period of 18 months from the closing of the Offering. In connection with the Offering, the Underwriters received an aggregate cash fee equal to $162,600. The Company also issued 542,000 compensation options to the Underwriters and the member of the selling group that entitle the holders to purchase Common Shares at the Offering Price for a period of 18 months from the closing of the Offering.
The Company plans to use the net proceeds from the Offering for working capital and general corporate purposes.
The Units, including all underlying securities thereof, are subject to a hold period of four months and one day from their date of issuance under applicable Canadian securities laws.
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.
About ProntoForms Corporation
ProntoForms is a mobile workflow platform used by more than 3,500 businesses to collect and analyzefield data with smartphones and tablets. Our product delivers an intuitive, secure and scalable solutionfor mobilizing business processes, with a very low total cost of ownership. Our customers harness thesolution to increase productivity and reduce cost, improve quality of service and mitigate risks.
ProntoForms is the winner of the 2015 Frost & Sullivan Competitive Strategy Innovation and LeadershipAward for the Mobile Forms Industry.
The company trades on the TSXV under the symbol PFM. ProntoForms is the registered trademark ofProntoForms Inc., a wholly owned subsidiary of ProntoForms Corporation.
co-Chief Executive Officer
Chief Financial Officer