Hollister Biosciences Inc. Announces an Increase in Private Placement to $6.5 Million

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VANCOUVER, British Columbia, Jan. 21, 2021 (GLOBE NEWSWIRE) -- Hollister Biosciences Inc. (CSE:HOLL, OTC:HSTRF, FRANKFURT:HOB) (“Hollister” or the “Company”) is pleased to announce that it has entered into an amended letter of engagement with Eight Capital, pursuant to which Eight Capital, acting as sole bookrunner and lead agent, has now agreed to offer for sale, together with a syndicate of agents (together with Eight Capital, the “Agents”), 17,810,000 Special Warrants of the Company (the “Special Warrants”), on a “best efforts” private placement basis, subject to all required regulatory approvals, at a price per Special Warrant of $0.365 (the “Issue Price”) for total gross proceeds of up to $6,500,650 (the “Offering”).

Each Special Warrant shall be automatically exercisable into units of the Company (the “Units”), as described below. Each Unit shall consist of one common share of the Company (a “Share”) and one-half of one common share purchase warrant (each full warrant, a “Warrant”). Each Warrant shall entitle the holder thereof to acquire one Share at a price of $0.50 per Share for a period of 46 months following the Closing Date.

Each Special Warrant shall be automatically exercisable, for no additional consideration, into Units on the date (the “Automatic Exercise Date”) that is the earlier of: (i) the date that is three business days following the date on which the Company either (A) obtains a receipt from the applicable securities regulatory authorities (the “Securities Commissions”) for a (final) short form prospectus qualifying distribution of the Units underlying the Special Warrants (the “Qualifying Prospectus”); or (B) files a supplement to a (final) short form base shelf prospectus qualifying the distribution of the Units underlying the Special Warrants (the “Qualifying Supplement”), and (ii) the date that is four months and one day after the Closing of the Offering.

The Company will use its commercially reasonable efforts to obtain a receipt from the Securities Commissions for the Qualifying Prospectus or to file a Qualifying Supplement before the date that is 30 days following closing of the Offering (not including the date of closing), provided, however, that there is no assurance that a Qualifying Prospectus or Qualifying Supplement will be filed or that a receipt therefor will be issued by the Securities Commissions prior to the expiry of the statutory four month hold period.