Railtown AI Technologies Inc. Announces Closing of $3.4M Fully Subscribed Non-Brokered Private Placement

Executive Summary

• Railtown AI Technologies Inc. closed a fully subscribed non‑brokered private placement of 11,333,334 units at $0.30 per unit, raising $3.4 million in gross proceeds.
• Each unit consists of one common share and half of a common‑share purchase warrant (exercise price $0.45, 18‑month term); finders received additional cash commissions and warrants equal to 8% of the units they introduced.
• Net proceeds are earmarked for general working capital purposes.

Key Details

• Offering Size & Price: 11,333,334 Units @ $0.30 per Unit → $3,400,000 gross proceeds.
• Unit Composition: 1 common share + ½ warrant (full warrant allows purchase of one additional share at $0.45 for 18 months).
• Finder Compensation:
• Cash commissions: $160,000 (8% of gross proceeds from finder‑introduced purchasers).
• Finder’s Warrants: 533,333 non‑transferable warrants (8% of units sold via finders) exercisable at $0.30 per share for 18 months.
• Holding Period: All securities subject to a standard hold period of four months and one day under Canadian securities law.
• Use of Proceeds: Net proceeds will be used for general working capital.
• Regulatory Notice: Securities not registered in the U.S.; offering not available to U.S. persons absent exemption.

Notable Quotes

“We are pleased to have successfully closed this private placement, which provides us with the capital needed to advance our AI developer tools platform.” – Cory Brandolini, Chief Executive Officer.