PyroGenesis Canada Inc. , who design, develop, manufacture and commercialize plasma waste-to-energy systems and plasma torch products, have provided an update on their most recently announced private placement financing of up to $3MM. This funding bears an interest rate of 12% per annum according to an agreement with Industrial Alliance Securities Inc. , as a sole agent and bookrunner.
As previously announced on May 18, 2016, PyroGenesis made a strategic decision to delay their offering to allow for a certain Asian strategic investor to also participate in the offering. As such, the offering was postponed to close, at around, June 17, 2016 subject to the approval of the TSX Venture Exchange (“TSXV”) and the satisfaction of other customary closing conditions. The investor had requested additional time to their decision, and because of this, the company has agreed for decision making to finish by July 15, 2016. During this time, the investor has received the necessary government approvals to make a foreign investment into PyroGenesis.
“Once again, we understand the additional delays that can occur when dealing with different time zones and certain translation requirements,” said P. Peter Pascali, President and CEO of PyroGenesis. “Of note is that the Investor has secured the local government permits required for such a foreign investment with $3MM being set aside for that purpose. That being said, there is no guarantee the Company will come to terms with the Investor or whether the Investor will, at the end of the day, conclude the Offering.”
The company believes that this investment, if structured properly with the investor, will speed up PyroGenesis’ overall strategic objectives, particularly in Asia. The company will continue to provide updates on the investment as information is available.
PyroGenesis has received conditional approval from the TSXV for the offering on May 5, 2016. The offering remains subject to final TSXV approval, as well as the satisfaction of other customary closing conditions.
About PyroGenesis Canada Inc.
PyroGenesis Canada Inc., is a world leader in design, development, manufacture and the commercialization of advanced plasma processes. They provide engineering and manufacturing expertise, cutting-edge contract research, as well as turnkey process equipment packages to the defense, metallurgical, mining, advanced materials (including 3D printing), oil & gas, and environmental industries. With a team of experienced engineers, scientists and technicians working out of their Montreal office and 3,800 m2 manufacturing facility, PyroGenesis maintains its competitive advantage by doing their best to remain at the forefront of technology development and commercialization. Their core competencies allow PyroGenesis to aim to lead the way in providing innovative plasma torches, plasma waste processes, high-temperature metallurgical processes, and engineering services to the global marketplace. Their operations are ISO 9001:2008 certified, and have been since 1997. PyroGenesis is a publicly-traded Canadian company on the TSX Venture Exchange.