CALGARY, AB, Feb. 22, 2022 Avanti Energy Inc. (TSXV: AVN) (“Avanti“) is pleased to announce that it has entered into an agreement with a syndicate of investment dealers co-led by Cormark Securities Inc. and Beacon Securities Limited (the “Underwriters“), which have agreed to purchase, on a bought deal basis, 4,065,000 units (the “Units“) of Avanti at a purchase price of $1.23 per Unit (the “Offering Price“), for aggregate gross proceeds in the amount of approximately $4,999,950 (the “Offering“). Each Unit will consist of one common share of Avanti (a “Unit Share“) and one-half of one common share purchase warrant (each full warrant, a “Warrant“), each full Warrant being exercisable to acquire one common share of Avanti at a purchase price of $1.60for a period of 24 months following the closing of the Offering.
In addition, the Company has granted the Underwriters an option to purchase up to an additional 609,750 Units (representing 15% of the base Offering) at the Offering Price exercisable within 30 days after the closing of the Offering for additional gross proceeds in the amount of up to approximately $750,000.
The Offering is scheduled to close on or about March 15, 2022 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities.
The net proceeds of the Offering will be used to fund exploration drilling on the Company’s lands and for general corporate purposes.
These securities offered have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
About Avanti Energy Inc.
Avanti Energy is focused on the exploration, development and production of helium across western Canada and the United States. Avanti’s professional oil and gas exploration and production team is actively targeting untapped potential helium reserves to help meet the increasing global demand for an irreplaceable and scarce element critical to advanced technology, medical and space exploration industries. For more information, please go to the Company’s website at www.avantienergy.com.
For more information, please contact Investor Relations.
This press release shall not constitute an offer to sell or solicitation of an offer to buy the securities in any jurisdiction. The common shares will not be and have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements.
Caution regarding forward-looking information:
This release includes certain statements that may be deemed to be “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management 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 the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.