Crosswinds Holdings Inc. Announces Rights Offering

TORONTO, ONTARIO--(Marketwired - Jan. 23, 2017) -

NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES NEWS WIRE SERVICES

Crosswinds Holdings Inc. (TSX:CWI) ("Crosswinds" or the "Company") is pleased to announce that it will be offering rights (the "Rights Offering") to holders of its common shares ("Common Shares") of record at the close of business on January 30, 2017 (the "Record Date").

Rights Offering

Pursuant to the Rights Offering, each holder of Common Shares will receive one transferable right (a "Right") for each Common Share held. Each Right will entitle a holder to purchase one Common Share at a price of $1.25 (the "Subscription Price"). The Subscription Price is equal to approximately a 48.7% discount to the market price of the Common Shares on the Toronto Stock Exchange (the "TSX") for the 20 trading days immediately preceding the date hereof. A maximum of 5,304,007 Common Shares will be issued pursuant to the Rights Offering, representing 100% of the currently issued and outstanding Common Shares. The Rights Offering will be conducted in Canada only and in those jurisdictions and to those subscribers where Crosswinds may lawfully offer the Rights.

A Rights Offering notice (the "Notice"), together with a Rights certificate, will be mailed to registered holders of Common Shares as of the Record Date. Full details of the Rights Offering, including information regarding the distributions of the Rights and the procedures to be followed, are included in the Rights Offering circular, which will be filed today, together with the Notice, under Crosswinds' profile on SEDAR at www.sedar.com. The information set forth herein, including with respect to subscription procedures and exercise is, in all instances, subject to the terms and conditions set forth in such Rights Offering circular and the Notice.

To subscribe for Common Shares, a completed Rights certificate, together with payment in full of the Subscription Price for each Common Share subscribed for, must be received by the subscription agent for the Rights Offering, Computershare Investor Services Inc., prior to the expiry of the Rights at 4:00 p.m. (Toronto time) on February 28, 2017.

Shareholders who own their Common Shares through an intermediary, such as a bank, trust company, securities dealer or broker, will receive materials and instructions from their intermediary.

The Rights and the Common Shares issuable upon exercise of the Rights will be listed on the TSX. The Rights will be listed for trading on the TSX beginning on January 26, 2017 under the symbol "CWI.RT". Trading in the Rights on the TSX will cease at 12:00 p.m. (Toronto time) on February 28, 2017.