Vancouver, British Columbia--(Newsfile Corp. - October 22, 2024) - Synex Renewable Energy Corporation (TSX: SXI) ("Synex" or the "Company") is pleased to announce that it has closed a non-brokered private placement financing (the "Offering") of common shares ("Common Shares") in the capital of the Company at a price of $1.78 per Common Share. An aggregate of 308,988 Common Shares were issued for aggregate gross proceeds of $549,998.64.
Synex expects to use the proceeds of the Offering for working capital and general corporate purposes. The Common Shares issued pursuant to the Offering will be subject to a four month hold period from the closing of the Offering pursuant to applicable securities laws.
The Offering involved the issuance of Common Shares to certain insiders of the Company and, accordingly, is considered to be a "related party transaction" for purposes of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company did not file a material change report more than 21 days before the expected closing date of the Offering as the details of the Offering were not settled until shortly prior to the closing of the Offering, and the Company wished to close the Offering on an expedited basis for sound business reasons. The Company is relying on exemptions from the formal valuation and minority shareholder approval requirements available under MI 61-101. The Offering is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101, as neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the Offering, insofar as it involves related parties, exceeded 25% of the Company's market capitalization. The Offering was unanimously approved by the directors of the Company that did not participate in the Offering.
Daniel J. Russell, through an entity controlled by him, purchased 293,371 Common Shares as part of the Offering for an amount equal to $522,200.38. Prior to the Offering, Mr. Russell owned, or had control or direction over 2,823,575 Common Shares, representing approximately 60.10% of issued and outstanding Common Shares on a partially diluted basis. After the Offering, Mr. Russell owns, or has control of direction over, 3,116,946 Common Shares, representing approximately 62.25% of the issued and outstanding Common Shares on a partially diluted basis. Mr. Russell indirectly acquired the Shares for investment purposes. Mr. Russell may from time to time acquire additional securities, dispose of some or all of the existing or additional securities or may continue to hold the securities of the Issuer.
About Synex Renewable Energy Corporation
Synex is a Vancouver, British Columbia based company engaged in the development, acquisition, ownership, and operation of renewable energy projects in Canada. It has ownership interests in 12 MW of operating hydro projects in British Columbia and owns a Vancouver Island grid connection and utility carrying on business as Kyuquot Power Ltd. The Company also has 9.4 MW of construction ready run-of-river projects, applications, and land tenures on another 24 potential hydroelectric sites totaling over 150 MW of capacity, and approximately 16 wind development sites that could provide up to 4,700 MW of clean power in British Columbia. For further information, visit www.synex.com.
For media inquiries, please contact:
Daniel J. Russell President & CEO, Synex Renewable Energy Corporation 4248 Broughton Ave., Niagara Falls, Ontario L2E 0A4 Phone (604) 688-8271
Cautionary Note Regarding Forward-Looking Information and Statements
This press release contains certain "forward-looking information" within the meaning of applicable Canadian securities legislation. Such forward-looking information and forward-looking statements are not representative of historical facts or information or current condition, but instead represent only Synex's beliefs regarding future events, plans or objectives, many of which, by their nature, are inherently uncertain and outside of Synex's control. Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved".
By identifying such information and statements in this manner, Synex is alerting the reader that such information and statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such information and statements. In addition, in connection with the forward-looking information and forward-looking statements contained in this press release, Synex has made certain assumptions. Although Synex believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. Among others, the key factors that could cause actual results to differ materially from those projected in the forward-looking information and statements are the following: changes in general economic, business and political conditions, including changes in the financial markets; and the other risks disclosed in the Company's annual information form dated September 27, 2024 and available on the Company's profile at www.sedarplus.ca. Should one or more of these risks, uncertainties or other factors materialize, or should assumptions underlying the forward-looking information or statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated, or expected.
The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and Synex does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Synex or persons acting on its behalf is expressly qualified in its entirety by this notice.
