/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN
CANADA ONLY AND IS NOT INTENDED
FOR DISTRIBUTION TO UNITED STATES
NEWSWIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES./
BEVERLY, MA, Aug. 18, 2020 /CNW/ -LexaGene Holdings Inc.
(TSXV: LXG) (OTCQB: LXXGF) ("LexaGene" or the "Company"), a
molecular diagnostics company that develops genetic analyzers for
rapid pathogen detection, is pleased to announce that it has
entered into an agreement with Canaccord Genuity Corp. and
Industrial Alliance Securities Inc. (collectively, the
"Underwriters") pursuant to which the Underwriters have agreed to
purchase, on a bought deal basis, an aggregate of 8,824,000 units
(the "Units") of the Company at a price of C$0.85 per Unit (the "Offering Price") for
aggregate gross proceeds to the Company of approximately
C$7,500,000 (the "Offering").
Each Unit shall consist of one common share (each a "Common
Share") and one-half of one common share purchase warrant of the
Company (each whole common share purchase warrant, a "Warrant").
Each Warrant shall be exercisable to acquire one common share of
the Company (a "Warrant Share") for a period of 36 months from
closing of the Offering at an exercise price of C$1.10 per Warrant, subject to adjustment in
certain events.
The Company has granted the Underwriters an option (the
"Over-Allotment Option") to purchase up to an additional 1,323,600
Units at the Offering Price, which Over-Allotment Option will be
exercisable at any time and from time-to-time, for a period of 30
days following the Closing Date (as defined below), which would
result in additional gross proceeds of approximately C$1,125,000. The Over-Allotment Option is
exercisable to acquire Units, Common Shares and/or Warrants (or any
combination thereof) at the discretion of the Underwriters.
The Units will be offered by way of a short form prospectus to
be filed in all provinces of Canada except Quebec. The Offering is expected to close on
September 9, 2020 (the "Closing
Date") and is subject to certain conditions including, but not
limited to, the receipt of all necessary regulatory and stock
exchange approvals, including the approval of the TSX Venture
Exchange and the applicable securities regulatory
authorities.
The Company will use best efforts to obtain the necessary
approvals to list the Common Shares and the Warrant Shares issuable
upon exercise of the Warrants on the TSX Venture Exchange.
The Company intends to use the proceeds of the Offering to
scale up production, build inventory and for general corporate
purposes.
The securities referred to in this news release have not been,
nor will they be, registered under the United States Securities Act
of 1933, as amended, or any state securities laws, and may not be
offered or sold within the United
States, or to or for the account or benefit of any U.S.
persons or any persons in the United
States, absent U.S. registration or an applicable exemption
from the U.S. registration requirements. This news release
does not constitute an offer for sale of securities for sale, nor a
solicitation for offers to buy any securities. Any public
offering of securities in the United
States must be made by means of a prospectus containing
detailed information about the company and management, as well as
financial statements.
About LexaGene Holdings Inc.
LexaGene is a molecular diagnostics company that develops genetic
analyzers for pathogen detection and other molecular markers for
on-site rapid testing in veterinary diagnostics, food safety and
for use in open-access markets such as clinical research,
agricultural testing and biodefense. End-users simply need to
collect a sample, load it onto the instrument with a sample
preparation cartridge, enter sample ID and press 'go'. The MiQLab
analyzer delivers excellent sensitivity, specificity, and breadth
of detection and can return results in approximately one hour. The
unique open-access feature is designed for custom testing so that
end-users can load their own real-time PCR assays onto the
instrument to target any genetic target of interest.
Forward-Looking Information
This news release contains forward-looking information, which
involves known and unknown risks, uncertainties and other factors
that may cause actual events to differ materially from current
expectation. Important factors -- including the availability of
funds, the results of financing efforts, the success of technology
development efforts, the cost to procure critical parts,
performance of the instrument, market acceptance of the technology,
regulatory acceptance, and licensing issues -- that could cause
actual results to differ materially from the Company's expectations
as disclosed in the Company's documents filed from time to time on
SEDAR (see www.sedar.com). Forward–looking statements are
necessarily based upon a number of estimates and assumptions that,
while considered reasonable, are subject to known and unknown
risks, uncertainties, and other factors which may cause the actual
results and future events to differ materially from those expressed
or implied by such forward–looking statements. These
forward-looking statements include, but are not limited to,
statements relating to the timing and completion of the Offering,
the satisfaction and timing of the receipt of required stock
exchange approvals and other conditions to closing of the Offering
and the intended use of the net proceeds of the Offering. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date of this press release.
The company disclaims any intention or obligation, except to the
extent required by law, to update or revise any forward-looking
information, whether as a result of new information, future events
or otherwise.
The TSX Venture Exchange Inc. has in no way passed upon the
merits of the proposed transaction and has neither approved nor
disapproved the contents of this press 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.
SOURCE LexaGene Holdings Inc.