Toronto-based vehicle communications platform Siyata Mobile Inc (TSX-V: SIM) announced it plans to raise gross proceeds of $2 million from a private placement. It said it expects about 25 percent of the transaction will be subscribed for by Shamrock Private Equity. Founded in 2010, Siyata is a provider of cellular connected devices for trucks, commercial vehicles and fleets. The company will use the funds raised for its growth strategy in North America and general working capital.
Siyata Mobile Announces $2M CDN Private Placement, Receives Backing From Shamrock Private Equity Fund
TORONTO, ON–(Marketwired – May 26, 2016) – Siyata Mobile Inc. (“Siyata” or the “Company”) (TSX VENTURE: SIM)(OTC PINK: SIMFF) is pleased to announce that it is conducting a private placement (the “Private Placement”) to raise gross proceeds of up to $2,000,000. The Private Placement involves the issuance of up to 5,714,286 units (the “Units”) at $0.35 per Unit. Each Unit will be comprised of one common share of the Company and one common share purchase warrant (each, a “Warrant”). Each Warrant will entitle the holder to purchase one common share of the Company at any time prior to two years after the issue date at a price of $0.50.
The Private Placement will be conducted on a non-brokered basis to institutional and accredited investors under applicable securities laws and is subject to the approval of the TSX Venture Exchange. The Company plans to close the placement on or before June 30, 2016 and expects that approximately 25% of the Private Placement will be subscribed for by Shamrock Private Equity. The Company may pay finder’s fees in connection with the Private Placement.
Gil Gurfinkel, VP at Shamrock and Chairman of Siyata stated, “Shamrock is very pleased with the investment in Siyata, the strategic direction of the Company, and the proposed acquisition of Signifi Mobile. We want to ensure the Company is well funded for its anticipated sales growth in 2016 and beyond.”
The proceeds of the Private Placement will be used principally for its growth strategy in North America, and general working capital.
Siyata Mobile Inc. is a leading global developer and provider of a vehicle-mounted communications platform over advanced mobile networks. Siyata’s customers include cellular operators, commercial vehicle technology distributors, and fleets of all sizes in Canada, the US, Europe, Australia, and the Middle East.
Siyata’s “Connected-Vehicle” devices and accessories are specifically designed for professional fleets such as trucks, vans, buses, ambulances, government cars and more. Siyata aims to provide greater mobile connectivity for professional drivers and facilitate replacement of the current in-vehicle, multi device status quo with a single device that incorporates voice, data, and fleet management solutions. Visit www.siyatamobile.com to learn more.
On Behalf of the Board of Directors of:
SIYATA MOBILE INC.
CEO and Director
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws.
Photo courtesy of Siyata Mobile Inc