LAVAL, QC
, Sept. 4, 2024 /CNW/ - Geekco Technologies Corporation (the "Corporation" or "Geekco") (TSXV: GKO) (OTCQB: GKOTF) is pleased to announce that it has closed today the first tranche of its non-brokered private placement (the "Private Placement") announced on August 19, 2024. Under the first tranche of the Private Placement, the Corporation issued 5,000,000 units ("Units") at a price of $0.05 per Unit for aggregate gross proceeds of $250,000 out of a maximum of $700,000 (or 14,00,000 Units). Each Unit consists of one (1) Class A share of the share capital of the Corporation (each a "Common Share") and one (1) warrant (each a "Warrant"). Each Warrant entitles the holder to acquire one (1) additional Common Share at a price of $0.08 until three (3) years from their issuance date.
The Corporation intends to use the net proceeds from the Private Placement for general and working capital purposes.
No finder's fees were paid in connection with the first tranche of the Private Placement. All securities issued within the Private Placement are subject to a four-month and one-day resale restriction period from the closing date of the Private Placement. The Private Placement is subject to the final approval of the TSX Venture Exchange (the "TSXV") and any other applicable regulatory approvals.
Under the Private Placement, André Godin, Chairman of the Board of the Corporation, subscribed directly to 500,000 Units for gross proceeds of $25,000. His previous shareholding on an undiluted and basis was at 2.07% (4.68% on a partly diluted basis) (increases to 2.68% on an undiluted basis and to 5.78% on a partly diluted basis, after closing of the Private Placement). Also, Michel Timperio, Director of the Corporation, subscribed directly to 400,000 Units for gross proceeds of $20,000. His previous shareholding on an undiluted was at 0.71% (1.97% on a partly diluted basis) (increases to 1.27% on an undiluted basis and to 3.01% on a partly diluted basis, after closing of the Private Placement). Furthermore, Henri Harland, owner of more than 10% of the Corporation's securities, subscribed indirectly, through Gestion Harland Inc., to 1 100 000 Units for gross proceeds of 55,000$. Directly and indirectly, his previous aggregate shareholding on an undiluted was at 23.62% (27.02% on a partly diluted basis) (changes to 23.49% on an undiluted basis and to 27.81% on a partly diluted basis, after closing of the Private Placement). Such transactions are "related party transactions" as defined under Multilateral Instrument ("MI 61-101") and are exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as the Corporation is listed on the TSXV and the fair market value of any security issued to, or the consideration paid, does not exceed 25% of the Corporation's market capitalization. The Corporation did not file a material change report pertaining to the insider's interest more than 21 days before the closing of the Private Placement, as the details of this insider's participation had not been confirmed at that time. The board members of the Corporation unanimously, but excluding André Godin and Michel Timperio, reviewed the state of the financial market and determined that the terms and conditions of the Private Placement, including the subscription of the related party, were fair and equitable and represented the best strategic financing option available. In addition, neither the Corporation nor the said related party has knowledge of any material information concerning the Corporation or its securities that have not been generally disclosed.
ABOUT GEEKCO
Geekco is positioned at the forefront of technological solutions that are evolving the new way of doing marketing while stimulating and energizing the economy of each city and each neighborhood by making consumers and merchants interact like never before. Its Tell Me application allows users to discover the businesses near them in real time. They are just one click away from accessing exclusive incentives offered by merchants and just one click away from finding a job. All this in the same app.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Geekco Technologies inc
