/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
CINCINNATI, OH, Oct. 10, 2018 /CNW/ - Protech Home Medical
Corp. ("PHM" or the "Company") (TSXV: PHM), is
pleased to announce that it has entered into an agreement with
Beacon Securities Limited ("Beacon" or the
"Underwriter"), pursuant to which the Underwriter has agreed
to purchase, on a bought deal basis, 16,700,000 common shares (the
"Offered Shares") of the Company at a price of $0.12 per Offered Share (the "Issue
Price"), for aggregate gross proceeds to the Company of
$2,004,000 (the
"Offering").
In addition, the Company has granted the Underwriter an option,
exercisable, in whole or in part, giving notice to the Company at
any time up to 48 hours prior to the Closing Date (as defined
below), to purchase up to an additional 2,505,000 Offered Shares at
the Issue Price for additional gross proceeds of up to $300,600.
The net proceeds from the Offering will be used for working
capital and general corporate purposes.
The completion of the Offering is expected to occur on or about
October 31, 2018 (the "Closing
Date") and is subject to the completion of formal documentation
and receipt of applicable regulatory approvals, including the
approval of the TSX Venture Exchange ("TSXV"). All
securities issued in connection with the Offering will be subject
to a four month hold period from the Closing Date in accordance
with applicable Canadian securities laws.
The Offered Shares will be offered on a private placement basis
in each of the provinces of Canada
and may be offered in the United
States on a private placement basis pursuant to an exemption
from registration requirements of the
United States Securities Act of 1933, as amended (the
"U.S. Securities Act"), and such other jurisdictions as may
be agreed upon by the Company and the Underwriter.
The Offered Shares have not been, and will not be, registered
under the U.S. Securities Act or any U.S. state securities laws,
and may not be offered or sold in the
United States or to, or for the account or benefit of,
United States persons absent
registration or any applicable exemption from the registration
requirements of the U.S. Securities Act and applicable U.S. state
securities laws. This release shall not constitute an offer to sell
or the solicitation of an offer to buy securities in the United States, nor shall there be any sale
of these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful.
ABOUT PROTECH HOME MEDICAL CORP.
The Company provides in-home monitoring and disease management
services for patients in the United
States healthcare market. The primary business objective of
the Company is to create shareholder value by offering a broader
range of services to patients in need of in-home monitoring and
chronic disease management. The Company's organic growth strategy
is to increase annual revenue per patient by offering multiple
services to the same patient, consolidating the patient's services
and making life easier for the patient.
Neither the TSXV nor its Regulation Service Provider (as that
term is defined in the policies of the TSXV) accepts responsibility
for the adequacy or accuracy of this release.
Forward-Looking Statements
Certain statements contained in this press release constitute
"forward-looking information" as such term is defined in applicable
Canadian securities legislation. All statements other than
statements of historical fact, included herein, including without
limitation, statements regarding the completion of the Offering and
the use of proceeds from the Offering, are forward-looking
statements. Forward-looking statements are frequently, but not
always, identified by words such as "expects", "anticipates",
"believes", "intends", "estimates", "potential", "possible", and
similar expressions, or statements that events, conditions, or
results "will", "may", "could", or "should" occur or be achieved.
Such statements reflect the Company's current views and intentions
with respect to future events, and current information available to
the Company, and are subject to certain risks, uncertainties and
assumptions. Many factors could cause the actual results,
performance or achievements that may be expressed or implied by
such forward-looking information to vary from those described
herein should one or more of these risks or uncertainties
materialize. Examples of such risk factors include, without
limitation: credit; market (including equity, commodity, foreign
exchange and interest rate); liquidity; operational (including
technology and infrastructure); reputational; insurance; strategic;
regulatory; legal; environmental; capital adequacy; the general
business and economic conditions in the regions in which the
Company operates; the ability of the Company to execute on key
priorities, including the successful completion of acquisitions,
business retention, and strategic plans and to attract, develop and
retain key executives; difficulty integrating newly acquired
businesses; the ability to implement business strategies and pursue
business opportunities; low profit market segments; disruptions in
or attacks (including cyber-attacks) on the Company's information
technology, internet, network access or other voice or data
communications systems or services; the evolution of various types
of fraud or other criminal behavior to which the Company is
exposed; the failure of third parties to comply with their
obligations to the Company or its affiliates; the impact of new and
changes to, or application of, current laws and regulations;
decline of reimbursement rates; dependence on few payors; possible
new drug discoveries; a novel business model; dependence on key
suppliers; granting of permits and licenses in a highly regulated
business; the overall difficult litigation environment, including
in the U.S.; increased competition; changes in foreign currency
rates; increased funding costs and market volatility due to market
illiquidity and competition for funding; the availability of funds
and resources to pursue operations; critical accounting estimates
and changes to accounting standards, policies, and methods used by
the Company; and the occurrence of natural and unnatural
catastrophic events and claims resulting from such events; as well
as those risk factors discussed or referred to in the Company's
disclosure documents filed with the securities regulatory
authorities in certain provinces of Canada and available at www.sedar.com. Should
any factor affect the Company in an unexpected manner, or should
assumptions underlying the forward-looking information prove
incorrect, the actual results or events may differ materially from
the results or events predicted. Any such forward-looking
information is expressly qualified in its entirety by this
cautionary statement. Moreover, the Company does not assume
responsibility for the accuracy or completeness of such
forward-looking information. The forward-looking information
included in this press release is made as of the date of this press
release and the Company undertakes no obligation to publicly update
or revise any forward-looking information, other than as required
by applicable law.
SOURCE Protech Home Medical Corp.
