iFabric Announces Extension of Period to Exercise Warrants

Rhea-AI Summary

IFABRIC CORP. (TSX: IFA) (OTCQX: IFABF) has received conditional approval from the Toronto Stock Exchange to extend the exercise period of 2,943,717 outstanding common share purchase warrants for a year. The Warrants represent approximately 8.85% of the Company's issued shares. The decision aims to provide additional capital without share price discounts or transactional costs. The extension will be effective from March 23, 2024, to March 23, 2025.

Markham, Ontario--(Newsfile Corp. - March 7, 2024) - IFABRIC CORP. (TSX: IFA) (OTCQX: IFABF) ("iFabric" or the "Company") is pleased to announce that it has received conditional approval from the Toronto Stock Exchange (the "TSX") to extend the exercise period of a total of 2,943,717 outstanding common share purchase warrants (the "Warrants"), all of which are held by arm's length parties, for a period of one year from their current expiry date - to March 23, 2025.

The Warrants were issued pursuant to a private placement of the Company that closed in February, 2021 and represent approximately 8.85% of the Company's issued and outstanding common shares (assuming all Warrants are exercised). The amendment will become effective on March 23, 2024.

The date of the private placement closing, the original issue price of the subscription receipts that were converted into units (with each unit comprised of one common share and one common share purchase warrant), the total number of Warrants, the exercise price of the Warrants, the current expiry date of the Warrants and the extended expiry date of the Warrants are as follows:

Date of Private Placement	Issue Price of Subscription Receipts under Private Placement	Number of Warrants Extended	Warrant Exercise Price	Current Expiry Date of Warrants	Extended Expiry Date of Warrants
February 22, 2021	$3.90	2,943,717	$4.60	March 23, 2024	March 23, 2025

 

The decision to extend the term of these Warrants was undertaken by the iFabric Board of Directors, which concluded that additional capital could be put to effective use and that improving the prospect of the exercise of the Warrants could help provide such additional capital without the share price discounts or transactional costs associated with new private placements or public offerings of equity. While the price of iFabric shares is currently below the exercise price of the Warrants, their exercise over the coming 12 months may be achievable if certain corporate goals are realized within that timeline.

ABOUT IFABRIC CORP.

Headquartered in Markham, Ontario, iFabric, www.ifabriccorp.com, is listed on the TSX and, currently has 30.3 million shares issued and outstanding. Its two strategic divisions offer a variety of products and services through wholly-owned subsidiaries, namely, Intelligent Fabric Technologies (North America) Inc. ("IFTNA") and Coconut Grove Pads Inc. ("Coconut Grove").

IFTNA is focused on development and sale of high-performance sports apparel, medical protective apparel, consumer protective apparel, and proprietary treatments that provide "intelligent" properties to fabrics, foams, plastics, and numerous other surfaces, thereby improving the safety and well-being of the user. Such intelligent properties include antiviral and antibacterial characteristics, water-repellence and UV protection, among others.

Coconut Grove, operating as Coconut Grove Intimates, is a designer, manufacturer, distributor, licensor and licensee of ladies' intimate apparel products and accessories.

FORWARD-LOOKING STATEMENTS

Forward-looking statements provide an opinion as to the effect of certain events and trends on the business. Certain statements contained in this news release constitute forward looking statements. The use of any words such as "anticipate", "continue", "plans", "estimate", "expect", "may", "will", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the extent and impact of health pandemic outbreaks on our business; general business, economic, competitive, political and social uncertainties; general capital market conditions and market prices for securities; the actual results of the Company's future operations; competition; changes in legislation affecting the Company; the ability to obtain and maintain required permits and approvals, the timing and availability of external financing on acceptable terms; lack of qualified, skilled labour or loss of key individuals.

A description of additional risk factors that may cause actual results to differ materially from forward-looking information can be found in the Company's annual information form dated December 29, 2022 and other filings with the Canadian securities regulators available under the Company's profile on SEDAR+ at www.sedarplus.ca. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended.

Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Readers are cautioned not to place undue reliance on these statements as the Company's actual results, performance, or achievements may differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements if known or unknown risks, uncertainties or other factors affect the Company's business, or if the Company's estimates or assumptions prove inaccurate. Therefore, the Company cannot provide any assurance that forward-looking statements will materialize. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.

FOR FURTHER INFORMATION, please contact:

Hilton Price, CFO
Tel: 647.465.6161
Email: hilton.price@rogers.com

Website: www.ifabriccorp.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/200929

FAQ

What is the purpose of extending the exercise period of the Warrants for IFABF?

The extension aims to provide additional capital without share price discounts or transactional costs.

How many outstanding common share purchase warrants are being extended for IFABF?

2,943,717 outstanding common share purchase warrants are being extended.

What percentage of the Company's issued shares do the extended Warrants represent for IFABF?

The extended Warrants represent approximately 8.85% of the Company's issued shares.

When will the extended exercise period of the Warrants be effective for IFABF?

The extended exercise period of the Warrants will be effective from March 23, 2024, to March 23, 2025.

Who made the decision to extend the term of the Warrants for IFABF?

The decision was made by the iFabric Board of Directors.