Toronto, Ontario--(Newsfile Corp. - August 20, 2014) - Added
Capital Inc. (TSXV: AAD) ("
Added" or the "
Company") today announced the closing of the
previously announced non-brokered private placement financing (the
"Financing"). The Company has issued 1,880,000 units ("Units") at a
price of $0.05 per Unit for gross proceeds of $94,000. Each Unit
consists of one common share and one common share purchase warrant
(a "Warrant"). Each Warrant is exercisable at a price of $0.05 per
share and expires on August 20, 2019. Proceeds of the Financing
will be used to reduce the Company's short-term loans outstanding
and for working capital purposes. The Company expects to close a
second tranche in the coming weeks. In connection with the
Financing, the Company paid commissions of $760.
Jaguar Financial Corporation ("Jaguar"), a company in respect of
which Vic Alboini is Chairman and Chief Executive Officer and a
23.2% shareholder purchased 1,000,000 Units of Added, representing
15.8% of Added's total issued shares on an undiluted basis and
27.4% of Added's total issued shares assuming exercise of the
Warrants acquired by Jaguar. Mr. Alboini, Chairman and Chief
Executive Officer of Added purchased 500,000 Units of Added,
representing approximately 7.9% of Added's total issued shares on
an undiluted basis and 14.7% of Added's total issued shares
assuming exercise of the Warrants acquired by Mr. Alboini. Prior to
the transaction, Mr. Alboini owned 1,263,839 common shares
representing approximately 28.5% of the then issued and outstanding
common shares. After the transaction, Mr. Alboini owned 27.9% of
Added's total issued shares on an undiluted basis and 33.2% of
Added's total issued shares assuming exercise of his Warrants.
Jaguar together with Mr. Alboini owns or has control or
direction over 2,763,889 common shares representing approximately
43.8% of the issued and outstanding common shares on an undiluted
basis and 4,263,839 common shares representing approximately 54.6%
of the issued and outstanding common shares assuming exercise of
1,500,000 Warrants of the Company which Jaguar and Mr. Alboini
hold. Jaguar and Mr. Alboini acquired the securities for investment
Jaguar and Mr. Alboini may, directly or indirectly, depending on
market and other conditions, acquire beneficial ownership of,
control or direction over, additional common shares, through market
transactions, private agreements or otherwise. Jaguar and Mr.
Alboini may, depending on market and other conditions, sell any or
all of the common shares.
The Financing is subject to final approval from the TSX Venture
Exchange. All Units issued will be subject to a four-month hold
period ending December 21, 2014.
Neither the 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.
About Added Capital Inc.
Added Capital Inc. is a financial advisory firm and merchant
bank, with a specialization in mergers and acquisitions, merchant
banking investments, risk arbitrage merger and acquisition
investments, financial restructurings, proxy solicitation and
information agent services.
FOR FURTHER INFORMATION PLEASE CONTACT:
Chief Financial Officer