DelphX Announces Closing of Non-Brokered Unit Private Placement
Rhea-AI Summary
DelphX Capital Markets (TSXV: DELX) (OTCQB: DPXCF), a fixed income structured products developer, has completed a non-brokered private placement raising C$251,040 through the issuance of 2,789,333 units at C$0.09 per unit. Each unit comprises one common share and one purchase warrant, with warrants exercisable at C$0.20 per share for a two-year period.
The offering has received conditional acceptance from the TSX Venture Exchange, pending final requirements. Securities issued will have a four-month plus one-day hold period. The company plans to use the proceeds for general corporate purposes.
Positive
- Successfully raised C$251,040 in new capital
- Warrants provide potential for additional future capital at C$0.20 per share
Negative
- Dilutive effect on existing shareholders through issuance of 2,789,333 new shares
- Low unit price of C$0.09 indicates potential market weakness
- Additional dilution possible if warrants are exercised
News Market Reaction
On the day this news was published, DPXCF declined 29.80%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Toronto, Ontario--(Newsfile Corp. - February 21, 2025) - DelphX Capital Markets Inc. (TSXV: DELX) (OTCQB: DPXCF) ("DelphX"), a leader in the development of new classes of structured products for the fixed income market, announces that it has closed on a non-brokered private placement of 2,789,333 units (the "Units") at a subscription price of C
The Offering has been conditionally accepted by the TSX Venture Exchange, and completion of the Offering is subject to the fulfilment or satisfaction of certain customary requirements and final acceptance by the TSX Venture Exchange. The securities issued pursuant to the Offering will be subject to a hold period of four months plus one day from the date of issuance.
DelphX intends to use the net proceeds from the Offering in connection with general corporate purposes.
About DelphX Capital Markets Inc.
DelphX is a technology and financial services company focused on developing and distributing the next generation of structured products. Through its special purpose vehicle Quantem LLC, the Company enables fixed income dealers to offer new private placement securities that provide mitigation of spread and capital charge losses when downgrades occur, while allowing for attractive returns. The new DelphX securities will enable dealers and their qualified institutional investors (QIBs) accounts to competitively structure, sell and make markets in:
- Collateralized put options (CPOs) that provide secured rating downgrade protection for underlying corporate bonds;
- Collateralized reference notes (CRNs) that enable investors to take on a capped rating downgrade exposure of an underlying security in exchange for attractive returns.
All CPOs and CRNs are fully collateralized and held in custody by BNY Mellon. CPOs and CRNs are proprietary products created and owned by DelphX Capital Markets.
For more information about DelphX, please visit www.delphx.com.
George Wentworth, General Manager
DelphX Capital Markets Inc.
george.wenthworth@delphx.com
(718) 509-2160
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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/241920
FAQ
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