VANCOUVER, BC, Feb. 4, 2021 /CNW/ - LEAF Mobile Inc. (TSXV:
LEAF) ("LEAF" or the "Company") is pleased to
announce that it has completed its public offering of subscription
receipts (the "Subscription Receipts") for aggregate gross
proceeds of $23 million including the
full exercise of the over-allotment option by the Co-Lead Agents
(as defined below) (the "Offering"), previously announced on
November 11, 2020 and January 25, 2021. The Offering was
qualified by LEAF's final short form prospectus dated January 22, 2021 (the "Prospectus"),
available under its SEDAR profile online at www.sedar.com.
The Offering was completed through a syndicate of agents
including Eight Capital and Haywood Securities Inc. as co-lead
agents (collectively the "Co-Lead Agents"), Paradigm Capital
Inc. and Scotia Capital Inc. on a best-efforts basis.
The Subscription Receipts are governed by a subscription receipt
agreement (the "Subscription Receipt Agreement") entered
into among LEAF, the Co-Lead Agents (on behalf of the Agents) and
Odyssey Trust Company. Each Subscription Receipt will entitle
the holder thereof to receive, upon satisfaction of certain release
and issuance conditions as described in the Prospectus, one common
share of LEAF (a "LEAF Share"). Proceeds from the
Offering were deposited into escrow with Odyssey Trust Company, as
escrow agent, under the Subscription Receipt Agreement, and will
not be released until aforementioned release and issuance
conditions are satisfied.
LEAF intends to use the net proceeds of the Offering primarily
to fund the cash consideration payable under the previously
announced acquisition by the Company of East Side Games Inc. (the
"Acquisition") and as detailed in the Prospectus.
The Acquisition is anticipated to close on or about February 5, 2021 and is subject to certain
conditions including, but not limited to, the receipt of all
necessary prior approvals. Upon completion of the Acquisition, the
release conditions of the Offering will have been met and the
Subscription Receipts will be converted into LEAF Shares as
described in the Prospectus.
The Prospectus contains important information relating to the
Subscription Receipts, the Offering, and the Acquisition, and has
been filed in each province of Canada other than Quebec, and may be subject to amendment.
A copy of the Prospectus can be obtained under the Company's
profile on SEDAR at www.sedar.com.
About LEAF
LEAF Mobile Inc. (TSX.V: LEAF) is a leading free-to-play mobile
game group, creating engaging games that produce enduring player
loyalty. Our studio groups entrepreneurial culture is anchored in
creativity, execution and growth through a diverse portfolio of
original and licensed IP mobile games that include Cheech
& Chong Bud Farm, Bud Farm Idle
Tycoon, Bud Farm Grass Roots and
Bud Farm 420.
We are headquartered in Vancouver,
Canada, and the company's common shares are listed on TSX
Venture Stock Exchange. Our games are available worldwide on the
App Store and Google Play. For further information, please visit:
www.leafmobile.io and join our online communities at LinkedIn,
Twitter, Facebook, and Instagram.
ON BEHALF OF THE BOARD
Darcy Taylor
CEO
Forward-looking statements:
Certain statements in this release are forward-looking
statements, which reflect the expectations of management regarding
the Offering and the Acquisition. Forward-looking statements
consist of statements that are not purely historical, including any
statements regarding beliefs, plans, expectations or intentions
regarding the future. Such statements are subject to risks and
uncertainties that may cause actual results, performance or
developments to differ materially from those contained in the
statements. No assurance can be given that any of the events
anticipated by the forward-looking statements will occur or, if
they do occur, what benefits the Company will obtain from
them. In particular, the Company cautions that the timing or
completion of the Acquisition cannot be predicted with certainty,
and there can be no assurance at this time that all required or
desirable approvals and consents to effect the Acquisition will be
completed in the manner noted above or at all. These
forward-looking statements reflect management's current views and
are based on certain expectations, estimates and assumptions which
may prove to be incorrect. A number of risks and uncertainties
could cause our actual results to differ materially from those
expressed or implied by the forward-looking statements, including
factors beyond the Company's control. These forward-looking
statements are made as of the date of this news release.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Leaf Mobile Inc.
