Carrier Connect closes $10.5-million private placement

Executive Summary

• Carrier Connect Data Solutions Inc. has closed a brokered private placement of units, raising gross proceeds of $10.5 million.
• The offering consisted of 6,562,500 units priced at $1.60 per unit, with each unit comprising one common share and one-half of one common share purchase warrant.
• Net proceeds are designated for acquisitions, debt repayment, capital improvements, data centre expansions, marketing, staffing, and general corporate purposes.

Key Details

• Gross Proceeds: $10.5 million.
• Units Sold: 6,562,500 units.
• Price Per Unit: $1.60.
• Underwriters/Agents: Co-led by Canaccord Genuity Corp. and Beacon Securities Ltd.
• Warrant Terms (Investors): Each unit includes one-half of one warrant. Each warrant allows the holder to acquire one common share at an exercise price of $2.10 until February 26, 2028.
• Use of Proceeds: Acquisitions, debt repayment, capital improvement, data centre expansions, marketing, staffing, and general corporate purposes/working capital.
• Agent Compensation:
  • Cash Commission: $625,500.
  • Agent Warrants Issued: 390,937 warrants.
  • Agent Warrant Terms: Each warrants entitles the holder to acquire one common share at $1.60 per share until February 26, 2028.
  • Agent Warrant Hold Period: Subject to a four-month-and-one-day statutory hold period.
• Regulatory Status: Issued pursuant to National Instrument 45-106 (Part 5A) and Coordinated Blanket Order 45-935. Not subject to a statutory hold period for investors. Subject to final approval of the TSX Venture Exchange.
• Jurisdiction: Purchasers resident in Canada (excluding Quebec) and other qualifying jurisdictions outside of Canada.

Notable Quotes

• "The completion of this financing shows the confidence in our business model, execution to date and growth plans for Carrier Connect for 2026. We look forward to providing further business updates in the near future." — Mark Binns, Chief Executive Officer