Forward Water Technologies Corp has said ts shares will start trading on the TSX Venture Exchange on October 26 under the trading symbol FWTC.
The news comes following the completion of a reverse takeover transaction with Hope Well Capital Corp, which acquired all of the issued and outstanding shares of Forward Water by way of a three-cornered amalgamation of the target and a wholly-owned subsidiary of the company, and issued 66,076,700 million common shares.
Following the transaction, all shareholders of Forward Water exchanged their shares in the capital at an exchange ratio of five resulting in issuer shares for every Forward Water share held.
READ: Forward Water Technologies says reverse takeover deal to take it public expected to close this month
A total of 72,333,810 resulting issuer shares were escrowed pursuant to an exchange Tier 2 surplus escrow agreement and 1,475,000 remain in escrow pursuant to the capital pool company (CPC) escrow agreement, as a result of the transaction.
Meanwhile, the TSX Venture Exchange has accepted for filing documentation for private placement announced earlier this year on three different occasions. The financing included 6.47 million subscription receipts at $1 for the gross proceeds of $6.47 million.
Each subscription receipt was converted into one unit of Forward Water Technologies (TSX-V:FWTC), which consisted of one share and one-half of one warrant, with each whole warrant entitling the holder to acquire one Forward Water share at an exercise price of $1.25 for 24 months following the transaction.
Forward Water shares and warrants issued pursuant to the conversion of the subscription receipts will be exchanged for common shares and warrants, respectively, of the company on the basis of five company securities for every target security.
In connection with the financing, a total of $377,600 in cash was paid to Research Capital Corp, as lead agent and sole book-runner, on behalf of a syndicate of agents, including WD Capital Markets Inc. and Fraser Mackenzie Corporate Finance, a division of Waverley Corporate Financial Services Ltd.
An aggregate of 1,888,000 broker warrants will be paid in connection with the financing. Each broker warrant is convertible into one unit, each unit comprising one share and one-half of one warrant.
Forward Water Technologies is commercializing its proprietary forward osmosis technology that allows manufacturing operations to clean their wastewater and reclaim up to 90% of the waste as clean water.
Contact Ritika at ritika@proactiveinvestors.com