NOT FOR DISTRIBUTION IN THE UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES
VANCOUVER, Dec. 18, 2018
/CNW/ - Parkit Enterprise Inc. (TSXV: PKT; OTCQX:
PKTEF) (the "Company" or "Parkit") is pleased to announce the
closing of its rights offering (the "Rights Offering") announced on
November 7, 2018. A total of
$718,270.55 was raised in the Rights
Offering. Parkit intends to use the proceeds of the Rights Offering
for identification and evaluation of new projects.
Parkit offered each shareholder resident in Canada 0.5336 of one right (each whole right,
a "Right") for each common share ("Share") held on November 14, 2018, entitling the holder to
purchase one Share for each Right at a price of C$0.29 per Share.
As previously announced, KDI Corporation Ltd., B&M Miller
Equity Holdings Inc. Leonite Capital LLC (an entity controlled by
Avi Geller), and Brad Dunkley entered into standby purchase
agreements with Parkit, pursuant to which they each agreed to
purchase $700,000 in Units. In
connection with such agreements, the standby-guarantors acquired
2,413,790 Shares. As Leonite Capital LLC is resident in
the United States it satisfied its
commitment to purchase 862,068 Shares through a non-brokered
private placement and as a result the Shares issued to Leonite are
subject to a hold period that will expire on April 19, 2019. The completion of the
private placement remains subject to receipt of the final approval
of the TSX Venture Exchange.
The Standby Guarantors are considered to be "related parties"
(within the meaning of Multilateral Instrument 61-101 - Protection
of Minority Security Holders in Special Transactions ("MI
61-101")), making the Rights Offering a "related party transaction"
(within the meaning of MI 61-101) (the "Related Party
Subscriptions"). The Company is exempt from obtaining a formal
valuation for, and minority approval of, the Related Party
Subscriptions pursuant to Section 5.5(b) and 5.7(b) of MI 61-101,
respectively.
Following completion of the Rights Offering, there are now
34,854,257 Shares issued and outstanding.
About Parkit
Parkit Enterprise Inc. is engaged in the acquisition,
optimization and asset management of income producing parking
facilities across North America.
The Company's shares are listed on TSX-V (Symbol: PKT) and on the
OTCQX (Symbol: PKTEF).
Disclaimer for Forward-Looking Information
Certain statements contained in this news release constitute
forward-looking information under applicable securities law. These
statements relate to future events or future performance, including
statements as to: the Company's intention to complete the Rights
Offering and the timing thereof; the exercise price of the rights
offered under the Rights Offering; the rights offering notice and
the rights offering circular and delivery of such documents by
intermediaries; the guaranteed minimum proceeds from the Rights
Offering; and the use of proceeds of the Rights Offering. Such
statements are not guarantees of future performance and actual
results or developments may differ materially from those expressed
in, or implied by, this forward-looking information. Factors that
could cause actual results to differ materially from those in
forward-looking statements include such matters as the availability
and cost of funds, the closing of the Rights Offering, uncertainty
associated with estimating costs to complete the Rights Offering
and other risks related to the business of the Company, the Rights
Offering and the Standby Guarantees. Any forward-looking statements
are expressly qualified in their entirety by this cautionary
statement. The information contained herein is stated as of the
current date and subject to change after that date and the Company
does not undertake any obligation to update publicly or to revise
any of the forward-looking statements, whether as a result of new
information, future events or otherwise, except as may be required
by applicable securities laws.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy the securities described herein in
the United States. The securities
offered hereby have not been and will not be registered under the
United States Securities Act of 1933, as amended (the "U.S.
Securities Act"), or the securities laws of any state of
the United States. This rights
offering notice does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities offered
hereby within the United States or
to U.S. persons and, subject to certain limited exceptions,
the securities offered herein may not be offered or sold in or into
the United States or to U.S.
persons. "United States" and "U.S. person" are as defined in
Regulation S under the U.S. Securities Act.
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 Parkit Enterprise Inc.
