Nanotech Security Corp. has announced the closing of its previously announced bought deal private placement with a syndicate of Canadian underwriters (the “Underwriters”), pursuant to which the Company issued 11,586,870 common shares (the “Shares”) of the Company at a price of $1.15 per Share for gross proceeds of $13,324,900.50 (the “Offering”). The Offering included the Underwriters exercising their over-allotment option for an additional 1,152,087 common shares.
The Company intends to use the net proceeds of the Offering to simplify and improve Nanotech’s capital structure by immediately redeeming the $4.2 million of convertible debentures that bear an interest rate of 12% per annum and are convertible at $1.25, to increase production capacity, strengthen the balance sheet and general corporate initiatives.
Nanotech Security Corp. has been a leading innovator in the design and production of advanced banknote and commercial branding authentication products. Nanotech’s KolourOptik®and Plasmogram™ products are nanotechnology based optical imaging product platforms originally inspired by the unique optical properties of the iridescent wings of the Blue Morpho butterfly. Our nano-optical products produce intense, high definition optically-variable images and colour-shift optical thin films. Activated by a simple tilt or rotation, with higher resolutions than the best LED-displays, they are ideal for authentication of currency, passports, and identification cards in addition to distinguishing branded goods from counterfeits.
Additional information about Nanotech can be found at the Company’s website www.nanosecurity.ca, the Canadian disclosure filings website www.sedar.com or the OTCMarkets disclosure filings website www.otcmarkets.com.