Clear Blue Technologies Closes Final Tranche of Oversubscribed $2.5 Million Private Placement

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TORONTO, Jan. 27, 2023 (GLOBE NEWSWIRE) -- Clear Blue Technologies International Inc. (“Clear Blue” or the “Company”) (TSXV: CBLU), the Smart Off-Grid Company, announces that it has closed a second and final tranche of a non-brokered private placement (the “Offering”). The second tranche raised CAD$1,294,420 in gross proceeds and follows a CAD$1,269,667 (gross) first tranche that closed in December 2022. Total gross proceeds for the two tranches were CAD$2,564,086, exceeding the Company’s targeted CAD$2,500,000. The total number of shares and warrants issued were 36,629,805 and 36,629,805, respectively.

In connection with the completion of the final tranche of the Offering, the Company paid cash finder's fees in the amount of $60,530 to certain arm's length third parties and issued 727,020 finder warrants ("Finder Warrants"), in each case representing approximately 7% of the gross proceeds of the initial tranche of the Offering. Each whole Finder Warrant is exercisable at any time prior to 5:00 p.m. (Toronto time) on the date that is 60 months following the date hereof at a price of $0.07 per Common Share, subject to accelerated expiration in accordance with the terms of the certificates governing the Finder Warrants.

All securities issued pursuant to the Offering are subject to a hold period of four months and one day pursuant to applicable securities laws. Completion of the Offering remains subject to the final approval of the TSXV.

The second tranche adds four new institutional investors to Clear Blue’s investor base, including Pegroco Invest AB (“Pegroco”), an investment company that separately sold its 49% stake in eSite to Clear Blue. The purchase of eSite was financed by issuing 3,000,000 Clear Blue common shares to eSite Power Systems’ shareholders, including Pegroco, on a cash-free, debt-free basis.

Pegroco and other Swedish investors contributed CAD$762,500 to the second tranche, and certain members of Clear Blue’s management and board of directors invested CAD$599,871 in the first tranche. As a result, insider ownership rises from 16% to 22% of Clear Blue’s outstanding shares. Pegroco will own just under 9% of the basic shares outstanding of Clear Blue and is also guaranteeing certain vendor commitments by eSite through 2023.