XTM closes oversubscribed private placement for gross proceeds of over $ 8.5 million
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MIAMI and TORONTO, October 1, 2021 / CNW/ – XTM, Inc. (“XTM” or the “Society”) (OTCQB: XTMIF) (CSE: PAID) (FSE: 7XT), a Miami and TorontoFintech company based in the neo-banking industry, providing mobile banking and payment solutions for the hospitality and personal care industries across the board North America, is pleased to announce that the Wednesday September 29 he has closed a private placement offer without intermediary (the “Offer“) of 21 398 256 Company units (“Units“) at a price of $ 0.40 per unit, for gross proceeds of $ 8,559,302.40.
“This oversubscribed offer demonstrates our strength in the market and the confidence investors have in our growth momentum,” said Marilyn Schaffer, CEO of XTM. “We plan to use the proceeds of the Offering in part to support the launch of our ambitious expansion plan in the United States. Canada is in a strong market and XTM’s position in the Canadian hospitality industry has grown steadily. The United States will provide an additional opportunity for the Company as we continue to gain a stronghold in Canada. XTM’s overall growth strategy is both ambitious and responsible, and we are very excited about the new perspectives and the added value for our shareholders. ”
Each unit consists of one ordinary share in the capital of the Company (each one “Ordinary share“) and a warrants exercisable for one additional common share at a price of $ 0.65 for a period of 24 months after closing (“Mandates“). In the event that the Volume Weighted Average Price (VWAP) of the Common Shares on the Canadian Stock Exchange or a Recognized Canadian Exchange is equal to or greater than $ 1.00 over a period of ten consecutive trading days, XTM may, at its discretion, accelerate the expiration of the Warrants by issuing a press release (a “Press release on the acceleration of mandates“) and in this case, the expiration of the Warrants will be deemed to take place on the 30th day following the publication of the Warrant Acceleration Press Release.
T The securities issued are subject to a four-month hold period under securities laws. XTM expects that the net proceeds of the Offering will be used for general working capital purposes and future strategic acquisitions.
A global intermediation commission of $ 684,744 (representing 8% of the gross product) and 1,711,860 intermediation bonds (“Research mandates“), with the same exercise price and other terms as the warrants (representing 8% of the number of units issued), was paid to the discoverers as part of the placement.
XTM, www.xtminc.com, is a Miami and Toronto-Fintech innovator based in the neo-banking space, helping businesses and service workers in the hospitality and personal care space to disseminate and access earned wages and tips. XTM’s Today ™ solution, consisting of a free mobile app and a Visa or Mastercard debit card with free banking features, is used by thousands of restaurants, lounges and staff across Canada and the United States. XTM is a real-time payments specialist and our technology is used free of charge by restaurants and lounges to automate and accelerate worker payments and remove cash from their ecosystems. XTM’s Today solution delivers business value with efficiency and a tailored user experience designed specifically for restaurateurs and personal care services.
This press release contains “forward-looking information” within the meaning of applicable securities laws. All statements contained in this document which are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information may be identified by words or phrases such as “could”, “will”, “expect”, “likely”, “should”, “should”, “expect”, ” anticipate “,” intend “,” potential “,” proposed “,” estimate “,” believe “or the negative of these terms, or other similar words, expressions and grammatical variations thereof, or statements that certain events or conditions “may” or “will” occur, or through policy discussions. The forward-looking information contained in this press release includes, without limitation, information relating to the intended use by the Company of the proceeds of the Offer; the Company’s intentions and expectations regarding its expansion in the United States; obtaining the Company’s approval for such expansion from appropriate and necessary regulators; the timing and ability of the Company to grow in the United States and to identify and acquire appropriate strategic acquisition opportunities and targets; the Company’s ability to continue to Canada and its ability to meet or exceed current performance in the United States; and the Company’s commitment to take immediate action increases shareholder value.
Forward-looking information is based on certain material assumptions that have been applied in drawing a conclusion or making a forecast or projection, including management’s perceptions of historical trends, current conditions and expected future developments, as well as of other considerations that are deemed appropriate in the circumstances. Although we consider these assumptions to be reasonable based on information currently available to management, there can be no assurance that these expectations will prove to be correct.
By their nature, forward-looking information is subject to inherent risks and uncertainties which may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that the assumptions may not be correct and that the objectives, strategic goals and priorities will not be achieved. A variety of factors, including known and unknown risks, many of which are beyond our control, could cause actual results to differ materially from the forward-looking information contained in this press release, including the Company not using the proceeds of the Offer as expected, the The Company has not obtained the necessary regulatory approval to expand into the United States, the Company has sufficient financial resources and working capital as a result of the Offer to execute its strategic plan, the inability or failure of the Company to execute its business and strategic plans as planned or not at all, changing national or regional economic, legal, regulatory and competitive conditions and a resurgence of the COVID-19 pandemic.
Other risk factors include: risks resulting from investing in a growing financial technology company; dependence on management; the Company’s ability to service its debt; the Company’s ability to obtain additional financing from time to time to pursue its business objectives; competetion; litigation; inconsistent public opinion and perception regarding its products and services; and regulatory or policy change. Additional risk factors can also be found in the Company’s current MD&A, which has been filed on SEDAR and can be viewed at www.sedar.com. Readers are urged to carefully consider these and other factors, uncertainties and potential events, and not to place undue reliance on forward-looking information.
The forward-looking information contained in this document is made as of the date of this press release and is based on the beliefs, estimates, expectations and opinions of management at the date on which such forward-looking information is made. The Company assumes no obligation to update or revise forward-looking information, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material differences between subsequent actual events and such forward-looking information, except as required by applicable law.
SOURCE XTM Inc.
For more information: please visit: xtminc.com or contact: Marilyn Schaffer, 416.260.1641, [email protected]