CHARBONE Hydrogen Announces Closing of a Second and Final Tranche, Oversubscribing its $1M Non-Brokered Private Placement

Executive Summary

• Charbone Hydrogen Corp. completed the second and final closing of its $1.013 M non‑brokered private placement, raising an additional $0.551 M.
• The financing issued 9,183,334 units at $0.06 each (each unit = one common share + one warrant), providing capital to reinstall hydrogen equipment at the Sorel‑Tracy site and fund infrastructure development.
• Units include warrants exercisable at $0.08 per share for 24 months; a $22,160 finder’s fee was paid and 369,333 finder’s warrants were issued to dealers.

Key Details

• Total proceeds: $1.013 M (first tranche + second tranche).
• Second‑tranche amount: $0.551 M.
• Units issued (second tranche): 9,183,334 units @ $0.06 per unit.
• Unit composition: 1 common share + 1 common share purchase warrant.
• Warrant terms: Right to buy one additional common share at $0.08 exercise price; exercisable for 24 months after closing.
• Finder’s fee: $22,160 paid at closing.
• Finder’s warrants: 369,333 warrants issued to registered dealers linked to specific unit sales.
• Use of proceeds:
• Purchase and re‑installation of operating hydrogen equipment at the Sorel‑Tracy site.
• Infrastructure development for the UHP hydrogen network.
• General working capital requirements.
• Regulatory conditions: Closing subject to TSX Venture Exchange approval and customary closing conditions; securities subject to a four‑month + one‑day hold period in Canada.

Notable Quotes

“We are very pleased with the strong interest and support shown by investors in this private placement, which exceeded our original target,” said Dave B. Gagnon, CEO of Charbone.
“The completion of this financing provides Charbone with the resources to advance the re‑installation of our hydrogen equipment at the Sorel‑Tracy site and continue building the infrastructure that underpins our long‑term growth strategy.”