PyroGenesis Announces Closing of $12 Million Bought-Deal Prospectus Offering of Units, Including Full Exercise of the Over-Allotment Option

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MONTREAL, Nov. 10, 2020 (GLOBE NEWSWIRE) -- PyroGenesis Canada Inc. (“PyroGenesis” or the “Company”) (TSXV:PYR) (OTCQB:PYRNF) (FRA:8PY), a high-tech company that designs, develops, manufactures and commercializes advanced plasma processes and products, is pleased to announce, further to its press release dated November 3, 2020, the closing of its bought-deal short form prospectus offering pursuant to which the Company issued 3,354,550 units of the Company (the “Units”) at a price of $3.60 per Unit for aggregate gross proceeds of $12,076,380 (the “Offering”), including the full exercise of the over-allotment option. The Offering was led by Mackie Research Capital Corporation, as sole underwriter and sole bookrunner, (the “Underwriter”).

Each Unit is comprised of one common share of the Company (a "Common Share") and one-half of one Common Share purchase warrant of the Company (each whole Common Share purchase warrant, a "Warrant"). Each Warrant entitles the holder thereof to purchase one additional Common Share at an exercise price of $4.50 for a period of 24 months from the closing of the Offering.

Provided that if, at any time prior to the expiry date of the Warrants, the volume weighted average trading price of the Common Shares on the TSX Venture Exchange (the “Exchange”), or other principal exchange on which the Common Shares are listed, is greater than $6.75 for 20 consecutive trading days, the Company may, within 15 days of the occurrence of such event, deliver a notice to the holders of Warrants accelerating the expiry date of the Warrants to the date that is 30 days following the date of such notice (the “Accelerated Exercise Period”). Any unexercised Warrants shall automatically expire at the end of the Accelerated Exercise Period.

The net proceeds from the Offering will be used for working capital and other purposes as described in the prospectus of the Company dated November 3, 2020 prepared in connection with the Offering.

In consideration for the services provided by the Underwriter, the Company has paid a cash commission equal to 6.5% of the gross proceeds of the Offering and issued to the Underwriter an aggregate of 191,414 non-transferable compensation options, which are exercisable into Units at a price of $3.60 per Unit at any time up to 24 months from closing of the Offering.