Dr. Phone Fix closes final tranche of financing

Executive Summary

• Dr. Phone Fix Canada Corp. completed the second and final tranche of its non-brokered private placement, raising $1,333,852.80 from the issuance of 8,892,352 units.
• The total capital raised across both tranches is $2,572,603.20, exceeding the initial target and triggering an increase in the offering size.
• Proceeds will be used to support an M&A growth strategy and expand the national retail network, with a goal to double store count from 35 to 70 within 12-18 months.

Key Details

• Transaction Structure: Non-brokered private placement of units, each comprising one common share and one-half of one common share purchase warrant.
• Second Tranche Specifics:
  • Units Issued: 8,892,352
  • Price Per Unit: $0.15
  • Gross Proceeds: $1,333,852.80
• Total Offering Results:
  • Aggregate Gross Proceeds: $2,572,603.20
  • Status: Oversubscribed; company exercised right to increase offering size.
• Warrant Terms:
  • Each unit includes 0.5 warrants.
  • Exercise Price: $0.25 per share.
  • Duration: Two years from date of issuance.
  • Broker Warrants: Finders received warrants equal to 7% of units subscribed by introduced persons, exercisable at $0.25 for two years.
• Regulatory/Restrictions:
  • Statutory hold period: Four months and one day.
  • Subject to final acceptance by the TSX Venture Exchange.
• Use of Proceeds: Implementation of M&A growth strategy and general working capital.
• Finder Fees: Cash payment of 7% of gross proceeds from introduced persons plus warrants equal to 7% of units subscribed by introduced persons.

Notable Quotes

• "The completion of this second tranche and the increased size of our private placement reflect strong investor confidence in our vision and execution," said Piyush Sawhney, chief executive officer of Dr. Phone Fix. "With this additional capital, we are going to continue executing on our disciplined M&A strategy and accelerate the expansion of our national retail network, with the clear intention of doubling our store count from 35 to 70 over the next 12 to 18 months."