CHAR Technologies Completes Significant Private Placement
CHAR Technologies Ltd. is excited to announce the completion of a successful non-brokered private placement that has generated substantial funding to propel its innovative projects. This move aligns with the Company’s vision of enhancing its leading-edge technology for clean energy solutions.
Details of the Private Placement
The recent private placement, often referred to as the "Offering", resulted in CHAR Technologies issuing a total of 16,359,451 units. Each unit, priced at CDN$0.20, has contributed to gross proceeds of CDN$3,271,890. Each unit includes one common share and a warrant exercisable for additional shares. The exercise price for these warrants has been set at the attractive rate of CDN$0.30, offering existing and potential investors opportunities to further engage with CHAR Technologies’ growth trajectory.
Insider Participation in the Offering
Interestingly, insiders of CHAR Technologies participated in this Offering, acquiring an aggregate of 729,410 units. This involvement qualifies as a “related party transaction” under relevant regulations, which the Company has addressed. Notably, the insiders' contributions did not exceed 25% of the Company's market capitalization, hence they were exempt from formal valuation and minority shareholder approval procedures, allowing for a smooth transaction process.
Utilization of Proceeds
The funds raised through this Offering will primarily be utilized for general working capital purposes, but a significant portion is earmarked to advance the Thorold Project, which is expected to move towards biocarbon production. This aligns with CHAR Technologies’ commitment to developing sustainable energy solutions while supporting a green transition in industries.
Finder’s Fees and Warrants
As part of the Offering, the Company has also committed to paying finder’s fees amounting to CDN$155,100. Alongside this fee, 775,500 Finder’s Warrants were issued, which offer additional options to acquire shares at the same CDN$0.30 price, expiring in 2026.
Regulatory Approval and Next Steps
The completion of the Offering remains subject to final approval from the TSX Venture Exchange, demonstrating the Company’s commitment to adhering to regulatory standards. Furthermore, the securities issued through this Offering will be subject to a statutory hold period of four months and one day, ensuring investor protection during this timeframe.
About CHAR Technologies
CHAR Technologies is at the forefront of pioneering high temperature pyrolysis (HTP) technology, transforming waste materials into valuable energy resources. This technology plays a crucial role in supporting the global transition towards low-carbon energy solutions. By converting underutilized wood and organic waste into renewable natural gas or green hydrogen, CHAR Technologies effectively contributes to environmental sustainability.
Community and Environmental Responsibilities
CHAR Technologies’ environmentally responsible approach to energy production not only promotes waste diversion from landfills but also emphasizes the generation of clean energy. Through its innovative solutions, CHAR Technologies is making strides toward decarbonizing heavy industry, marking a significant leap towards a cleaner planet.
Frequently Asked Questions
What is the purpose of the recent private placement by CHAR Technologies?
The funds raised will support general working capital and advance the Thorold Project towards biocarbon production.
How much funding was generated from the private placement?
CHAR Technologies raised gross proceeds of CDN$3,271,890 from the sale of 16,359,451 units.
What is included in each unit sold in the offering?
Each unit consists of one common share and one-half of one common share purchase warrant, allowing for future share acquisitions.
Who participated in this Offering?
Insiders of CHAR Technologies acquired a total of 729,410 units during this Offering.
What is CHAR Technologies’ core business innovation?
CHAR Technologies specializes in high temperature pyrolysis technology, turning waste into renewable energy resources and contributing to green energy initiatives.
