Eyecarrot Innovations Corp.(TSXV:EYC) has completed the previously announced non-brokered private placement for total proceeds of $1,260,800. The Company issued a total of 8,405,332 Units at a price of $0.15 per Unit, each Unit being comprised of one common share and one common share purchase warrant, exercisable into one common share for a period of 24 months at an exercise price of $0.25.
No finder’s fees, broker’s fees or commissions were paid in connection with the offering.
All securities issued in connection with the Private Placement are subject to a four-month hold period expiring on April 3, 2017. Further restrictions may apply to certain subscribers under foreign securities laws.
Insiders participated in the Private Placement acquiring an aggregate of 932,667 shares on the same basis as other subscribers. The participation in the Private Placement by insiders of the Company constitutes a “related party transaction” as such term is defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on exemptions from the formal valuation and minority approval requirements under MI 61-101. The Company relied on Section 5.5(a) of MI 61-101 for an exemption from the formal valuation requirement and Section 5.7(1)(a) of MI 61-101 for an exemption from the minority shareholder approval requirement of MI 61-101 as the fair market value of the transaction insofar as the transaction involved interested parties did not exceed 25% of the Company’s market capitalization.
A material change report in connection with the Private Placement will be filed less than 21 days before the closing of the Private Placement. This shorter period is reasonable and necessary in the circumstances as the Company wished to complete the Private Placement in a timely manner.