ELECTRA MECCANICA ANNOUNCES PRICING OF $8.5 MILLION REGISTERED DIRECT OFFERING
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Electra Meccanica Vehicles Corp. (NASDAQ: SOLO) ("Electra Meccanica" or the "Company"), a designer and manufacturer of electric vehicles, today announced that it has entered into a securities purchase agreement with investors providing for the registered sale of 4,250,000 common shares at a purchase price of $2.00 per share for gross proceeds of $8,500,000.
In the concurrent private placement to the same investors, the Company is selling warrants to purchase 4,250,000 common shares with an exercise price of $2.56 per share. The warrants are exercisable six months after issuance and have a term of five years from the initial exercise date.
The closing of the sale of securities is expected to take place on or about November 9, 2018, subject to certain customary closing conditions.
Electra Meccanica intends to use the net proceeds from this offering for the further design and development of its Tofino two seater electric sports car.
ThinkEquity, a division of Fordham Financial Management, Inc., and The Benchmark Company, LLC and are acting as joint placement agents.
The sale of the common shares are being offered by the Company pursuant to a shelf registration statement on Form F-3 (Registration No. 333-227883), which was declared effective by the Securities and Exchange Commission (the "SEC") on October 31, 2018. A final prospectus supplement will be filed with the SEC and will form a part of the effective registration statement. Copies of the final prospectus supplement and accompanying prospectus relating to this offering may be obtained, when available, by contacting ThinkEquity, 17 State Street, 22nd Floor, New York, NY 10004, (646) 968-9355, Email: prospectus@think-equity.com or The Benchmark Company, LLC, Attn: Prospectus Department, 150 E 58th Street, 17th floor, New York, NY 10155, 212-312-6700, Email: prospectus@benchmarkcompany.com.
This press release does not and shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities law of any such state or jurisdiction.
