CALGARY, Alberta, Dec. 11, 2023 (GLOBE NEWSWIRE) -- Canadian Premium Sand Inc. (“CPS” or the “Company”) (TSXV: CPS) announces the completion of two financing initiatives in support of the ongoing process to raise project financing for the construction of the Company’s patterned solar glass manufacturing facility in Selkirk, Manitoba (the “Project”).
The Company’s insiders, including board members and management, as well as certain key strategic investors have exercised 4,747,692 common share purchase warrants, at an exercise price of $0.40 per warrant, resulting in cash proceeds to CPS of $1,899,077. Following this initiative, the Company has 83,420,752 common shares outstanding.
Additionally, the Company has reached an agreement with the holders of its outstanding convertible debentures to extend the maturity date by one year from February 26, 2024 to February 26, 2025. All holders of the convertible debentures are insiders or key strategic investors in the Company.
“Despite a challenging macro-economic and fundraising landscape, we continue to make progress toward a successful Project financing. We believe a patient approach to this financing will deliver the best outcome for our shareholders. This approach is supported by our insiders and key strategic investors who have ensured the Company is in a strong position to execute the financing strategy. Management is confident that the market for our patterned solar glass remains strong. We continue to engage with our customers, all of which maintain their commitment to the Project and establishing North American solar glass supply to support their own capital investment and growth initiatives. We look forward to completing the Project financing process so we can support our customer’s growth objectives and create value for our shareholders,” stated Company President & CEO, Glenn Leroux.
Certain directors of the Company, being Lowell Jackson, John Assman and Glenn Leroux, and each of its two significant shareholders being Paramount Resources Ltd. and David Wilson, directly or indirectly participated in the convertible debenture maturity extension, which may result in this transaction being a "related party transaction" as defined under Multilateral Instrument 61-101 ("MI 61-101"). The transaction is exempt from the need to obtain minority shareholder and a formal valuation as required by MI 61-101 as the Company is listed on the TSX Venture Exchange and at the time the transaction was agreed to, neither the fair market value of the subject matter of nor, the fair market value of the consideration for, the transaction, insofar as it involved "interested parties" (as defined in MI 61-101), exceeded 25 percent of the Company's market capitalization. The convertible debenture maturity extension is subject to the approval of the TSX Venture Exchange.
About Canadian Premium Sand Inc.
The Company is developing manufacturing capacity for ultra high-clarity patterned solar glass through a Company-owned facility to be located in Selkirk, Manitoba that utilizes the high-purity, low-iron silica sand from its wholly owned Wanipigow quarry leases and renewable Manitoba hydroelectricity. The Company is a reporting issuer in Ontario, Alberta and British Columbia. Its shares trade on the TSXV under the symbol "CPS".
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.
CONTACT INFORMATION:
Canadian Premium Sand Inc. | |
Glenn Leroux | Cam Deller |
President and Chief Executive Officer | Chief Financial Officer |
glenn.leroux@cpsmail.com | cam.deller@cpsmail.com |
Investor Relations | |
IR@cpsmail.com | |
587.355.3714 | |
www.cpsglass.com | |
Forward-Looking Information
Certain statements contained in this press release constitute forward-looking statements relating to, without limitation, expectations, intentions, plans and beliefs, including information as to the future events, results of operations and the Company’s future performance (both operational and financial) and business prospects. In certain cases, forward-looking statements can be identified by the use of words such as “expects”, “estimates”, “forecasts”, “intends”, “anticipates”, “believes”, “plans”, “seeks”, “projects” or variations of such words and phrases, or state that certain actions, events or results “may” or “will” be taken, occur or be achieved. Such forward-looking statements reflect the Company's beliefs, estimates and opinions regarding its future growth, results of operations, future performance (both operational and financial), and business prospects and opportunities at the time such statements are made, and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or circumstances should change. Forward-looking statements are necessarily based upon a number of estimates and assumptions made by the Company that are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Forward-looking statements are not guarantees of future performance. In particular, this press release contains forward-looking statements pertaining, but not limited, to: the financing of the Project and the approach to be taken with respect to the financing of the Project and the anticipated benefits of such approach for the Company's shareholders; the anticipated market for the Company's patterned solar glass; the continued engagement with customers and the benefits of completing the Project financing for the Company's customers and shareholders; future development plans; industry activity levels; industry conditions pertaining to the solar glass manufacturing industry; the ability of and manner by which the Company expects to meet its capital needs; and the Company's objectives, strategies and competitive strengths. By their nature, forward-looking statements involve numerous current assumptions, known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from those anticipated by the Company and described in the forward-looking statements. The forward-looking information and statements contained in this document speak only as of the date hereof and the Company does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable laws.