PyroGenesis Secures $3.5 Million in Initial Private Placement

PyroGenesis Completes Successful First Tranche of Private Placement

PyroGenesis Inc. (TSX: PYR) (OTCQX: PYRGF) (FRA: 8PY1), a leader in the development of ultra-high temperature processes for heavy industry and defense, has recently achieved a significant milestone by closing the first tranche of its non-brokered private placement. This exciting development has resulted in the company raising approximately $3,500,000 through the issuance of 5,555,556 units at a price of $0.63 each, underscoring both investor confidence and the strategic importance of this capital influx.

Details of the Investment

The units offered in this tranche consist of a common share and a warrant, enabling investors to purchase additional shares at a reduced price in the future. Specifically, each warrant allows the holder to buy one common share at a price of $0.28 over the next four years. This structure not only provides immediate funding but also aligns investor interests with the future performance of PyroGenesis.

Investor Participation

Among the notable participants in this tranche is P. Peter Pascali, the President and CEO of PyroGenesis, who personally invested approximately $3,500,000 by acquiring the entire first tranche of units. This level of commitment exemplifies the leadership's belief in the company's potential and future success.

Future Plans and Additional Tranches

The company is already looking toward the next phase of this financing initiative. The upcoming closing of the second tranche is anticipated shortly, projected to involve the issuance of an additional 4,000,000 units at a price of $0.20 each. This anticipated fundraising is expected to yield around $800,000, further solidifying PyroGenesis’ financial standing.

Use of Proceeds

The funds raised from this private placement are intended to be utilized for general corporate purposes and working capital, which are vital for sustaining and expanding the operations of PyroGenesis. These activities will bolster the company's ability to deliver advanced engineering solutions to several sectors, including aerospace, defense, and utilities.

Regulatory and Compliance Aspects

While the private placement has received conditional approval from the TSX, it remains subject to final approval and customary conditions. These regulatory measures ensure that all funding activities are conducted in compliance with applicable legislation, safeguarding both investor interests and corporate integrity.

About PyroGenesis Inc.

Founded with a mission to innovate in high-temperature technology, PyroGenesis has over 30 years of experience in plasma technology. Located in Montreal, the company specializes in comprehensive engineering solutions that address critical challenges in energy, process heating, and materials development. Its impressive client roster includes leading organizations in aluminum, aerospace, and military sectors, reinforcing its reputation as a trusted partner in industrial innovation.

Frequently Asked Questions

1. What is the purpose of the private placement by PyroGenesis?

The proceeds from the private placement will be primarily used for working capital and general corporate purposes.

2. How many units were issued in the first tranche?

A total of 5,555,556 units were issued in the first tranche of the private placement.

3. What is included in each unit?

Each unit comprises one common share of PyroGenesis and one common share purchase warrant.

4. Who participated in the first tranche investment?

P. Peter Pascali, the CEO of PyroGenesis, invested approximately $3,500,000 by acquiring all units in the first tranche.

5. When is the next tranche expected to close?

The next tranche is expected to close shortly, with additional fundraising anticipated at approximately $800,000.

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