DMG Announces Private Placement

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

VANCOUVER, British Columbia, Dec. 03, 2020 (GLOBE NEWSWIRE) -- DMG Blockchain Solutions Inc. (TSX-V: DMGI) (DMGGF:OTC US) (FRANKFURT:6AX) (“DMG” or the “Company”), a diversified blockchain and technology company, announces a non-brokered private placement to raise gross proceeds of up $1,000,450 (the “Private Placement”). The Company intends to use the net proceeds of the Private Placement for general working capital purposes.

The Company will issue up to 5,885,000 units (each, a “Unit”) in the capital of the Company at a purchase price of $0.17 per Unit. Each Unit will consist of one common share (a “Common Share”) of the Company and one Common Share purchase warrant (a “Warrant”). Each Warrant is exercisable to purchase an additional Common Share (a “Warrant Share”) of the Company at an exercise price of $0.22 per Warrant Share for two years.

The Private Placement is anticipated to close on or about December 21, 2020, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the acceptance by the TSX Venture Exchange. Finder’s fees will be payable on the financing. All securities issued in connection with the Private Placement will be subject to a four-month hold period from the closing date.

This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws and may not be offered or sold in the United States or to the account or benefit of a U.S. person absent an exemption from the registration requirements of such Act.

About DMG Blockchain Solutions Inc.

DMG is a diversified cryptocurrency and blockchain platform company that is focused on the two primary opportunities in the sector – mining public blockchains and applying permissioned blockchain technology. DMG focuses on mining bitcoin, providing hosting services for industrial mining clients, earning revenues from block rewards and transaction fees, developing data analytics and forensic software products, working with auditors, law firms, and law enforcement to provide technical expertise. DMG’s permissioned blockchain technology is focused on developing enterprise software for the supply chain management of controlled products. DMG’s strategy is to become the domain experts across the business verticals it focuses on. DMG’s management team includes seasoned crypto experts, forensic & financial professionals and blockchain developers with deep relationships throughout the industry, with previous experience working at Bitfury, PwC, EY, Cisco and UBS.