CYMAT ANNOUNCES COMPLETION OF $1.3 M PRIVATE PLACEMENT FINANCING

Rhea-AI Summary

Cymat Technologies (TSXV: CYM) (OTCQB: CYMHF) has successfully completed a non-brokered private placement, raising $1,283,858 in gross proceeds. The offering consisted of equity Units priced at $0.11, with each Unit comprising one Common Share and one Common Share Purchase Warrant.

The Warrants allow holders to purchase Common Shares at $0.13 for 24 months, with an acceleration clause if shares trade at $0.16 or higher for 10 consecutive days. The offering resulted in the issuance of 11,671,435 Common Shares and an equal number of Warrants. Finder's fees totaled $4,191, with a company insider subscribing for 909,090 Units ($100,000).

The proceeds will fund capital equipment purchases for a strategic business development initiative and working capital needs, particularly supporting ongoing automotive initiatives. The company plans to host a webinar to update stakeholders on these developments.

Positive

• Successful completion of $1.28M financing for strategic initiatives
• Insider participation demonstrates management confidence ($100,000)
• Minimal finder's fees ($4,191) indicating efficient capital raise
• Proceeds earmarked for strategic business development and equipment

Negative

• Dilutive impact from issuance of 11.67M new shares
• Additional potential dilution from warrant exercise
• Low unit price of $0.11 indicates weak share price

MISSISSAUGA, ON, April 9, 2025 /PRNewswire/ - Cymat Technologies Ltd. (TSXV: CYM) (OTCQB: CYMHF) (the "Company" or "Cymat"). Today Cymat announced that it has completed a non-brokered private placement of equity Units (the "Offering"), generating gross proceeds of $1,283,858.

Each Unit was priced at $0.11 with one Unit consisting of one (1) Common Share and one (1) Common Share Purchase Warrant. Each Warrant entitles the holder to purchase one Common Share at a price of $0.13 for a twenty-four (24) month period, subject to an accelerated expiry. Should the Common Shares have a closing price equal to or above $0.16 for ten (10) consecutive trading days, then Cymat has the option to announce that it is activating the Warrant expiry date acceleration clause, advancing the Warrant expiry date to a date that is forty-five (45) days from the date of the clause announcement.

As the result of this Offering, Cymat will issue 11,671,435 Common Shares and the same number of Common Share Purchase Warrants. Aggregate finder's fees of $4,191 are payable in connection with this Offering. No other related compensation or broker warrants are to be issued. A Cymat insider subscribed for 909,090 Units reflecting gross proceeds of $100,000.

Proceeds of the Offering will be used for capital equipment purchases in support of a major strategic business development initiative and for working capital requirements.

Michael Liik, Cymat's CEO and Chairman stated, "We are pleased to be able to raise the requisite capital to enable us to take advantage of a strategic business opportunity." He added, "This funding will also provide additional working capital to facilitate development work underway in our strategic automotive initiatives. In short order, we will be hosting a webinar to provide stakeholders with updates on the progress of these initiatives." 

The terms of this Offering are subject to approval from the TSX Venture Exchange.

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture and sell Stabilized Aluminum Foam ("SAF"), a unique, ultra-light, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics including customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural   SAF under the Alusion^TM brand and its automotive and military SAF under the SmartMetal^TM brand. For further information, please visit our website at www.cymat.com.

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Certain material assumptions regarding such forward-looking statements may be discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. 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. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.

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SOURCE Cymat Technologies Ltd.

FAQ

How much did Cymat Technologies (CYMHF) raise in their latest private placement?

Cymat raised $1,283,858 in gross proceeds through a non-brokered private placement offering.

What is the exercise price and term for CYMHF's new warrants?

The warrants have an exercise price of $0.13 and a 24-month term, with an acceleration clause if shares trade at $0.16 for 10 consecutive days.

How will Cymat (CYMHF) use the proceeds from the private placement?

The proceeds will be used for capital equipment purchases supporting a strategic business initiative and for working capital requirements.

How many shares and warrants were issued in CYMHF's private placement?

Cymat issued 11,671,435 Common Shares and an equal number of Common Share Purchase Warrants.

What was the insider participation in CYMHF's private placement?

A Cymat insider subscribed for 909,090 Units, representing $100,000 of the total placement.