Century Global Announces Closing of Oversubscribed Rights Offering

TORONTO, July 19, 2023 (GLOBE NEWSWIRE) -- Century Global Commodities Corporation (TSX: CNT) (the “Company” or “Century”) is pleased to announce that on July 14, 2023, the Company closed its previously announced rights offering which expired on July 7, 2023 (the “Rights Offering”). At closing, the Company issued 19,700,914 common shares of the Company (the “Shares”) to rights holders at a price of $0.02 per Share for total gross proceeds of $394,018.28.

The Company received subscriptions for 4,337,033 Shares pursuant to the basic subscription privilege and 30,124,319 Shares pursuant to the additional subscription privilege, resulting in 100% of the Rights being subscribed, with an oversubscription of 75%. The additional subscriptions were pro rated within the 15,363,881 Shares remaining after the basic subscription privilege, and the excess subscription funds were returned to subscribers. The total number of issued and outstanding Shares upon completion of the Rights Offering will be 118,205,485. As the Rights Offering was oversubscribed, no Shares were purchased under the standby guaranty agreement among the Company, Sandy Chim and Thriving Century Limited.

To the knowledge of the Company, after reasonable inquiry insiders of the Company subscribed for an aggregate of 3,762,281 Shares through the exercise of their basic subscription privilege in the Rights Offering and purchased an additional aggregate amount of 10,671,261 Shares through their additional subscription privilege in the Rights Offering, representing total subscription proceeds of $288,670.84. To the knowledge of the Company, after reasonable inquiry, no person became a new shareholder holding more than 10% of the Shares upon closing of the Rights Offering.

The participation in the Rights Offering by certain “related parties” of the Company, namely, directors, officers and 10% shareholders of Company, constitutes a “related party transaction,” as such terms are defined by Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on an exemption from the formal valuation and minority approval requirements of MI 61-101 as the fair market value of the participation in the Rights Offering does not exceed 25% of the market capitalization of the Company.