D-BOX Technologies Inc. Announces Closing of $5.75 Million Public Offering, Including Full Exercise of the Over-Allotment Option

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MONTREAL, March 04, 2021 (GLOBE NEWSWIRE) -- D-BOX Technologies Inc. (“D-BOX”) (TSX:DBO), a world leader in immersive haptic entertainment experiences, is pleased to announce the closing of its previously-announced marketed public offering (the “Offering”) pursuant to which D-BOX issued 44,275,000 units (the “Units”) at a price of $0.13 per Unit (the “Offering Price”) for aggregate gross proceeds to D-BOX of $5,755,750, including the full exercise of the over-allotment option to purchase an additional 5,775,000 Units at the Offering Price. Each Unit is comprised of one Class A common share of D-BOX and one Class A common share purchase warrant (a “Warrant”). Each Warrant entitles the holder thereof to purchase one Class A common share of D-BOX at an exercise price of $0.16 at any time until March 4, 2023.

The Offering was led by Canaccord Genuity Corp., as the lead underwriter and sole bookrunner, on behalf of a syndicate of underwriters, including Echelon Wealth Partners Inc. and iA Private Wealth Inc. (collectively, the “Underwriters”).

The Units were offered by way of a short form prospectus dated February 25, 2021 (the “Prospectus”) filed in each of the provinces of Canada. D-BOX intends to use the net proceeds from the Offering for growth initiatives for the home entertainment market, to provide additional working capital and for general corporate purposes, as further described in the Prospectus.

In connection with the Offering, the Underwriters received an aggregate cash commission equal to 6% of the gross proceeds of the Offering (including in respect of any Units issued pursuant to the exercise of the over-allotment option), other than the gross proceeds from the president’s list purchasers, for which a cash commission equal to 3% was paid. The Underwriters also received, as additional compensation, compensation warrants to purchase up to 2,572,441 Class A shares of D-BOX at a price of $0.15 per share at any time until March 4, 2023.

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