POET Technologies Announces Upsize to Private Placement

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

TORONTO, Jan. 27, 2021 (GLOBE NEWSWIRE) -- POET Technologies Inc. (“POET” or the “Company”) (TSX Venture: PTK; OTCQX: POETF), the designer and developer of the POET Optical Interposer and Photonic Integrated Circuits (PICs) for the data center and tele-communication markets, is pleased to announce that in connection with the private placement (the “Placement”) announced by the Company earlier today, the Company and a syndicate of agents led by Cormark Securities Inc., and including IBK Capital Corp. and PI Financial Corp. (collectively, the “Agents”), have agreed to increase the size of the Placement. The Company will now issue up to 14,706,000 units (the “Units”) from the treasury of the Company, at a price of $0.85 per Unit (the “Issue Price”) for total gross proceeds of up to approximately $12.5 million (the “Placement”).

In addition, the Company and the Agents have also agreed that the Agents shall have an option (the “Agents’ Option”) to purchase up to an additional 2,941,200 Units on the same terms, exercisable up until the time of closing of the Placement, for market stabilization purposes and to cover over-allotments, if any. If the Agents’ Option is exercised in full, an additional approximately $2.5 million will be raised and the aggregate proceeds of the Placement will be up to approximately $15.0 million.

In connection with the Placement, the Company will pay a cash commission to the Agents equal to 6.0% of the aggregate gross proceeds of the Placement and will issue broker warrants equal to 6.0% of the number of Units sold under the Placement, each exercisable to acquire one Common Share at the Issue Price for a period of 24 months from the closing date of the Placement.

Closing of the Placement is subject to receipt of all necessary corporate and regulatory approvals, including the approval of the TSX Venture Exchange. Closing of the Placement is anticipated to occur on or about February 11, 2021.

The securities issued in connection with the private placement will be subject to a statutory hold period of four months from the date of issuance in accordance with applicable securities legislation. The Warrants will not be listed on any exchange.

This press release is not an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from U.S. registration requirements and applicable U.S. state securities laws.