Hapbee Technologies Inc (TSX-V:HAPB, OTCQB:HAPBF) has announced that, due to strong investor demand, it has upsized the second tranche of its previously announced non-brokered private placement of units at a price of $0.30 per unit to raise up to $8 million.
Any net proceeds received by the company from the offering are intended to be used for product development, business development, working capital and general corporate purposes.
Each unit in the offering will consist of one share and one subordinated voting share purchase warrant, with each warrant entitling the holder to acquire one share for a period of three years from the closing of the offering at an exercise price of $0.50 per share.
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The expiry date of the warrants will be subject to prior acceleration following the closing of the offering, at the discretion of the company. As previously announced, if the shares trade at or above $1.00 on the exchange for a period of 10 consecutive trading days after the expiry of the four-month hold period, the company may accelerate the expiry date to 60 days after the filing of a news release.
The company noted that it may pay a finder's fee on the offering within the maximum amount permitted by the policies of the Toronto Venture exchange.
In addition, Hapbee said the exchange has granted a 30-day extension to close the offering. Closing of the offering is subject to certain customary conditions, including, without limitation, approval of the exchange.
The securities to be issued under the offering will be offered by way of private placement under applicable exemptions from the prospectus requirements under applicable securities laws. Securities issued under the offering will be subject to a hold period which will expire four months and one day from the date of closing.
HapBee also announced that it is engaging both Proactive and Maximus to increase general market awareness for the company within the North American investment community.
The company had previously engaged Vancouver-based Equedia Network Corporation to provide a six-month media target reach program from November 2020 to April 2021.
HapBee noted that Equedia and its affiliates held 4,316,666 shares and convertible securities of the company to acquire up to 833,332 shares at the start of its engagement and still holds those securities. The company said it understands that Equedia intends to participate in the second tranche of the offering. The company said it does not currently have any agreement with Equedia for any services.
Canadian-based Hapbee is a wearable wellness technology company that aims to help people enhance how they feel. Powered by patented ultra-low radio frequency energy (ulRFE) technology, it delivers low-power electromagnetic signals designed to produce sensations such as Happy, Alert, Focus, Relax, and others.
The company has offices in Montreal, Vancouver, Seattle and Phoenix,
Contact the author at jon.hopkins@proactiveinvestors.com