SWMBRD Sports Inc (CSE:SWIM) said it intends to complete a non-brokered private placement offering of up to 12 million units at a price of C$0.05 per unit for gross proceeds of up to C$600,000, with net proceeds going to the production of SWMBRDS for sale and as general working capital.
Vancouver, BC-based sporting goods company SWMBRD has developed a proprietary aquatic sports board that is revolutionary in how it “empowers the human body in the water.”
The company said it has produced demonstration boards, which have been in rigorous real-world use in Hawaii, Canada, and Greece.
READ: SWMBRD Sports announces successful testing of factory boards
The company is preparing to start large-scale mass production under an original equipment manufacturing agreement with Tahe Outdoors of Vannes, France. SWMBRD said it intends to have SWMBRDs available for sale in December 2022.
The company said each unit comprised of one common share and one common share purchase warrant. Each warrant will entitle the holder to acquire one additional common share at a price of $0.06 per share, for a period of five years from the date the units are issued.
The offering will be available to existing shareholders of the company who, as of the close of business on October 26, 2022, held common shares of the company, as set out in BC Instrument 45-534 – Exemption from prospectus requirement for certain trades to existing security holders and in similar instruments in other jurisdictions in Canada, the company said.
The existing shareholder exemption limits a shareholder to a maximum investment of $15,000 in a 12-month period unless the shareholder has obtained advice regarding the suitability of the investment and, if the shareholder is resident in a jurisdiction of Canada, that advice has been obtained from a person registered as an investment dealer in the jurisdiction, SWMBRD said.
The company said it will also make the offering available to certain subscribers pursuant to BC Instrument 45-536 – Exemption from prospectus requirement for certain distributions through an investment dealer. In accordance with the requirements of the Investment Dealer Exemption, the company confirms there is no material fact or material change about the company that has not been generally disclosed.
SWMBRD said it might increase or decrease the size of the offering.
By offering an aquatic board sport that is versatile, easy to use, easy to store, and which can be used by all ages and body types in any body of water, SWMBRD said the sport of swim boarding has the potential to become one of the most popular board sports in the world.
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