Converge Technology Solutions Corp. (TSX: CTS) announced today that it has amended an agreement to conduct a bought deal financing made with a syndicate of underwriters led by Canaccord Genuity Corp. From previously announced target aggregate proceeds of $150 million, the company is now upsizing the offering for a total of $225.2 million.
The offering will now consist 21,350,000 common shares from the initial 14,220,000 common shares, still priced at $10.55 per share. Furthermore, the underwriters are now granted the option to purchase up to 3,202,500 additional within 30 days after the closing of the transaction. This potentially brings offering proceeds up to $259.0 million.
The company said it intends to use the proceeds from the offering for acquisitions, working capital, and other general corporate purposes.
Sponsored · Emerita Resources Corp.
The offering is expected to close on September 1, 2021, subject to customary conditions and approvals.
Converge Technology Solutions last traded at $11.20 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
