California Nanotechnologies arranges $750,000 placement

Executive Summary

• California Nanotechnologies Corp. announced a non-brokered private placement of up to 2.5 million units at $0.30 per unit, targeting gross proceeds of up to $750,000.
• The offering includes an overallotment option for an additional 1 million units, which would generate an extra $300,000 in gross proceeds.
• Proceeds are intended for general working capital and corporate purposes, subject to regulatory approvals including TSX Venture Exchange consent.

Key Details

• Offering Structure: Non-brokered private placement of units.
• Price: $0.30 USD per unit.
• Base Offering Size: Up to 2.5 million units.
• Gross Proceeds (Base): Up to $750,000.
• Overallotment Option: Allows for the sale of an additional 1 million units.
• Additional Gross Proceeds (Overallotment): Up to $300,000.
• Unit Composition: Each unit consists of one common share and one common share purchase warrant.
• Warrant Terms: Each warrant is exercisable for one additional common share at an exercise price of $0.30 USD.
• Warrant Expiry: 18 months from the closing of the offering.
• Use of Proceeds: General working capital and corporate purposes.
• Insider Participation: Expected to be up to 20% of the offering.
• Regulatory Status: Subject to receipt of all necessary regulatory approvals, including TSX Venture Exchange approval.
• Related Party Transaction: Insider participation will be treated as a related party transaction under TSX-V and MI 61-101 policies. The company anticipates relying on exemptions from minority shareholder approval and formal valuation requirements.
• Fees: Finders' fees may be payable in connection with the offering.