CYMAT ANNOUNCES TSX-V APPROVAL OF $1.3 M PRIVATE PLACEMENT FINANCING

Rhea-AI Summary

Cymat Technologies (TSXV: CYM) (OTCQB: CYMHF) has received TSX Venture Exchange approval for a non-brokered private placement, raising $1,283,858 in gross proceeds. The offering consists of Units priced at $0.11, with each Unit comprising one Common Share and one Common Share Purchase Warrant.

The company will issue 11,671,435 Common Shares and an equal number of Warrants. Each Warrant allows holders to purchase one Common Share at $0.13 within 24 months, subject to acceleration if share prices remain at or above $0.16 for 10 consecutive trading days. A company insider participated with a $100,000 subscription.

The proceeds will fund capital equipment purchases for a strategic business development initiative and working capital requirements. Securities issued will have a trading hold period expiring August 16, 2025.

Positive

• Secured $1.28M in additional funding through private placement
• Insider participation of $100,000 demonstrates management confidence
• Minimal finder's fees of $4,191 indicates efficient capital raising
• Proceeds earmarked for strategic business development initiative

Negative

• Dilutive effect from issuing 11.67M new shares and warrants
• Low unit pricing at $0.11 indicates weak market valuation
• Additional dilution possible if warrants are exercised

MISSISSAUGA, On, April 15, 2025 /PRNewswire/ - Cymat Technologies Ltd. (TSXV: CYM) (OTCQB: CYMHF) (the "Company" or "Cymat"). Today Cymat announced that it has received final approval from the TSX Venture Exchange for the non-brokered private placement of equity Units (the "Offering"), generating gross proceeds of $1,283,858 as originally announced on April 9, 2025.

Each Unit was priced at $0.11 with one Unit consisting of one (1) Common Share and one (1) Common Share Purchase Warrant. Each Warrant entitles the holder to purchase one Common Share at a price of $0.13 for a twenty-four (24) month period, subject to an accelerated expiry. Should the Common Shares have a closing price equal to or above $0.16 for ten (10) consecutive trading days, then Cymat has the option to announce that it is activating the Warrant expiry date acceleration clause, advancing the Warrant expiry date to a date that is forty-five (45) days from the date of the clause announcement.

As the result of this Offering, Cymat will issue 11,671,435 Common Shares and the same number of Common Share Purchase Warrants. Aggregate finder's fees of $4,191 are payable in connection with this Offering. No other related compensation or broker warrants are to be issued.

A Cymat insider subscribed for 909,090 Units reflecting gross proceeds of $100,000. The Company relied on an exemption from the formal valuation and minority shareholder approval requirements provided under MI 61-101 pursuant to section 5.5(a) and section 5.7(1)(a) of MI 61-101, on the basis that the Insider Participation does not exceed 25% of the fair market value of the Company's market capitalization.

Proceeds of the Offering will be used for capital equipment purchases in support of a major strategic business development initiative and for working capital requirements.

In accordance with applicable Canadian securities laws, the securities issued under this Offering will be subject to a trading hold period that will expire on August 16, 2025.

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture and sell Stabilized Aluminum Foam ("SAF"), a unique, ultra-light, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics including customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural   SAF under the Alusion^TM brand and its automotive and military SAF under the SmartMetal^TM brand. For further information, please visit our website at www.cymat.com.

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Certain material assumptions regarding such forward-looking statements may be discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.

View original content to download multimedia:https://www.prnewswire.com/news-releases/cymat-announces-tsx-v-approval-of-1-3-m-private-placement-financing-302429496.html

SOURCE Cymat Technologies Ltd.

FAQ

What are the terms of Cymat Technologies' (CYMHF) private placement financing?

The private placement consists of Units at $0.11 each, with one Common Share and one Warrant per Unit. Warrants are exercisable at $0.13 for 24 months.

How much did Cymat Technologies (CYMHF) raise in their April 2025 private placement?

Cymat raised gross proceeds of $1,283,858 through the non-brokered private placement.

What is the lock-up period for CYMHF's private placement securities?

The securities issued under this offering have a trading hold period that expires on August 16, 2025.

How will Cymat Technologies (CYMHF) use the private placement proceeds?

Proceeds will be used for capital equipment purchases supporting a strategic business development initiative and working capital requirements.

What is the warrant acceleration clause in CYMHF's private placement?

If shares trade at or above $0.16 for 10 consecutive days, Cymat can accelerate warrant expiry to 45 days from announcement.