Vecima Networks Announces Upsize via Private Placement Financing

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

VICTORIA, British Columbia, Dec. 09, 2022 (GLOBE NEWSWIRE) -- Vecima Networks Inc. (“Vecima” or the “Company”) (TSX:VCM) is pleased to announce that due to significant demand, in addition to the offering for sale of up to 563,380 common shares (the “Common Shares”) in the capital of the Company as announced in a press release dated December 7, 2022 (the “LIFE Offering”), the Company has entered into an agreement with Raymond James Ltd. and Cormark Securities Inc. (together, the “Lead Agents”), as lead managers and joint book-runners, together with a syndicate of agents (collectively, with the Lead Agents, the “Agents”) pursuant to which the Lead Agents have agreed to offer for sale an additional 394,500 Common Shares at a price of $17.75 per Common Share (the “Offering Price”) for aggregate gross proceeds to the Company of approximately $7,002,375 (the “Private Placement” together with the LIFE Offering, the “Offering”).

If the Lead Agents exercise the agents’ option under the LIFE Offering in its entirety and 394,500 Common Shares are sold in the Private Placement, the total gross proceeds from the Offering will be $17,002,370.

The Common Shares sold pursuant to the Private Placement shall be subject to the four-month hold period set out in National Instrument 45-102 – Resale of Securities and will be offered in all Canadian provinces pursuant to the Accredited Investor Exemption under National Instrument 45-106 – Prospectus Exemptions and in such other jurisdictions that are mutually agreed to by the Company and the Agents.

The Company intends to use the net proceeds of the Offering for the repayment of the line of credit.

The Private Placement is expected to close concurrently with the LIFE Offering on or about December 14, 2022, subject to customary closing conditions, including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto Stock Exchange.

There is an amended offering document related to the LIFE Offering that can be accessed under the Company’s profile at www.sedar.com and at https://vecima.com/investor-relations/investor-information/. Prospective investors in the LIFE Offering should read this offering document before making an investment decision.

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 the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements thereunder.