AIML Updates Terms of Proposed Private Placement Announced

Rhea-AI Summary

AI/ML Innovations Inc. (AIMLF) has announced updates to its non-brokered private placement offering, planning to issue up to 40,000,000 units at $0.05 per unit to raise gross proceeds of up to $2,000,000.

Each unit consists of one Common Share and one Warrant, with the Warrant term extended to three years from the previously announced two years. Warrant holders can purchase one Common Share at $0.15 per share, with no acceleration clause. The securities will have a four-month and one-day hold period.

The company plans to use the net proceeds for working capital requirements. Qualified finders assisting in unit sales will receive finder's fees in cash, securities, or both. The private placement requires approvals, including from the Canadian Securities Exchange.

Positive

• Extended warrant term from 2 to 3 years provides longer investment flexibility
• Potential to raise up to $2M in working capital
• No warrant acceleration clause, protecting investor interests

Negative

• Significant dilution potential with 40M new units being issued
• Low unit pricing at $0.05 indicates possible market weakness
• Additional dilution possible through finder's fees paid in securities

VANCOUVER, BC / ACCESS Newswire / April 7, 2025 / AI/ML Innovations Inc. ("AIML" or the "Company") (CSE:AIML)(OTCQB:AIMLF)(FWB:42FB) is pleased to announce that it intends to complete a non-brokered private placement offering of up to 40,000,000 units ("Units") at a price of $0.05 per Unit for gross proceeds of up to $2,000,000 ("Private Placement").

Each Unit is comprised of one Common Share and one warrant which will be exercisable into one (1) Common Share of the Company (each a "Warrant"). Each Warrant will have a term of three (3) years, not two (2) years as previously announced, and will entitle the holder to purchase one (1) Common Share at a price of $0.15 per Common Share following the closing date. There is no acceleration clause associated with the Warrants. The Common Shares and Warrants comprising the Units will be subject to a four-month and one day hold period in accordance with the policies of the CSE and applicable securities legislation.

The Company intends to use net proceeds of the Private Placement for working capital requirements.

The Company will pay a finder's fee to qualified finders who assist in selling the Units, in cash or securities or a combination of both, as permitted by CSE policy and applicable securities laws.

The Private Placement is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including approval from the Canadian Securities Exchange.

For more information about AIML:
For detailed information please see AIML's website or the Company's filed documents at www.sedarplus.ca.

For further information, contact: Blake Fallis at (778) 405-0882 or info@aiml-innovations.com.

About AI/ML Innovations Inc. https://aiml-innovations.com/

AIML Innovations Inc. has realigned its business operations to capitalize on the burgeoning fields of artificial intelligence: (AI) and machine learning (ML), with an initial investment focus on emerging digital health and wellbeing companies that leverage AI, ML, cloud computing and digital platforms to drive transformative healthcare management solutions and precision support delivery across the health continuum. Through its 100% owned Quantum Sciences Ltd., NeuralCloud Solutions Inc. and AI Rx Inc., its strategic partnership with Health Gauge Inc. (95.2% owned by AIML), and other planned accretive investments, the Company continues to capitalize on expanding growth areas, to the benefit of all the Company's stakeholders. AIML's shares are traded on the Canadian Securities Exchange under the symbol "AIML", the OTCQB Venture Market under "AIMLF", and the Frankfurt Stock Exchange under "42FB".

On behalf of the Board of Directors:
Paul Duffy, Executive Chairman

Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties, including with respect to the completion of the Private Placement. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of AIML, including the timing and nature of all deliverables associated with the Private Placement and whether the Private Placement will be completed as currently proposed or at all. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

SOURCE: AI/ML Innovations, Inc.

View the original press release on ACCESS Newswire

FAQ

What are the new terms of AIMLF's private placement offering in April 2025?

AIMLF is offering 40M units at $0.05 each, with each unit containing one Common Share and one Warrant exercisable at $0.15 for three years, aiming to raise $2M.

How long is the warrant term in AIMLF's updated private placement?

The warrant term has been extended to three years from the previously announced two years.

What is the exercise price for AIMLF's warrants in the private placement?

The warrants can be exercised at $0.15 per Common Share during the three-year term.

How will AIMLF use the proceeds from the private placement?

The company intends to use the net proceeds for working capital requirements.