VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 26, 2015) -
NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
IBC Advanced Alloys Corp. (News - Market indicators)(OTCQX:IAALF) ("IBC" or the "Company") has arranged private placement subscription agreements for 10,000,000 common share units ("Units") of the Company at a price of $0.10 per Unit for gross proceeds of $1,000,000 (the "Offering"). The Offering is non-brokered, scheduled to close on or before June 5, 2015 (the "Closing Date") and is subject to necessary approvals including the approval of the TSX Venture Exchange.
Each Unit consists of one common share ("Common Share") of IBC and one-half common share purchase warrant. Each full warrant shall entitle the holder to purchase one additional Common Share of the Company at an exercise price of $0.18 at any time up to 24 months from Closing Date. The warrants will be subject to a forced conversion ("Forced Conversion"), at the option of the Company, if the Common Shares trade at or above $0.45 per share for a period of 20 consecutive trading days. The warrants will expire on the 20th business day following the date that notice of the Forced Conversion is sent to the warrant holders.
The Company has agreed to pay a cash finder's fee equal to 7% of the gross proceeds of the Offering and to grant finder's warrants equal to 7% of the number of shares sold under the Offering. Each finder's warrant will entitle the holder to purchase one common share of the Company at a price of $0.10 for a period of 24 months from the Closing Date.
The Company intends to use the net proceeds from the private placement for working capital purposes. "The financing addresses IBC's project finance requirements, aerospace working capital needs, including new programs in the development phase and facilitates a pathway to increased revenues and production for 2015," said Simon Anderson, IBC's Chief Financial Officer.
THE COMMON SHARES, EQUITY UNITS AND UNITS HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS ABSENT REGISTRATION OR AN APPLICABLE EXEMPTION FROM U.S. REGISTRATION REQUIREMENTS.
About IBC Advanced Alloys Corp.
IBC is an integrated manufacturer and distributor of rare metals (beryllium) based alloys and related products serving a variety of industries including nuclear energy, automotive, telecommunications and a range of industrial applications. IBC has 80 employees and is headquartered in Vancouver, Canada with production facilities in Indiana, Massachusetts, Pennsylvania and Missouri. IBC is creating a dynamic global beryllium and advanced alloys company. IBC's common shares are traded on the TSX Venture Exchange under the symbol "IB" and the OTCQX under the symbol "IAALF".
This news release was prepared by management of IBC, which takes full responsibility for its contents. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release. 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.
This disclosure contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company's control including: the impact of general economic conditions in the areas in which the Company operates, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, limited availability of raw materials, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with manufacturing activities therefore the Company's future results, performance or achievements could differ materially from those expressed in these forward-looking statements. All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances.
