Siyata Mobile Inc. Closes US$13MM Private Placement Led by Phoenix Fund

Rhea-AI Summary

Siyata Mobile Inc. (SYTA, SYTAW) announced the closing of a private placement in Israel and Canada, raising US$12,945,000 by issuing 129,450 units at US$100 each. Each unit includes ten common shares and ten warrants, allowing the purchase of additional shares at US$11.50 for 42 months. Led by Phoenix Insurance Investment Fund, the offering strengthens Siyata's balance sheet as it targets revenue-generating acquisitions in 2021. The company paid US$652,250 in commissions and issued broker warrants as part of the offering.

Positive

• Successfully raised US$12,945,000 through a private placement.
• Strengthened financial position with a notable institutional investor, Phoenix Insurance.
• Plans to pursue revenue-generating acquisitions to enhance business growth.

Negative

• None.

VANCOUVER, British Columbia, Jan. 04, 2021 (GLOBE NEWSWIRE) -- Siyata Mobile Inc. (NasdaqCM: SYTA, SYTAW) (“Siyata” or the “Company”) is pleased to announce that it has closed a private placement in Israel and Canada of 129,450 units of the Company (the “Units”) at a price of US$100 per Unit for aggregate gross proceeds of US$12,945,000 (the “Offering”). Each Unit consisted of ten common shares of the Company (the “Shares”) and ten common share purchase warrants (each, a “Warrant”). Each Warrant entitles the holder thereof to acquire an additional common share of the Company at a price of US$11.50 for a period of 42 months from the date of issuance (the “Warrants”).

The Offering was led by Phoenix Insurance Investment Fund, a leading Israeli institutional fund with assets under management of over US$60B.

Marc Seelenfreund, CEO of Siyata, commented, “Phoenix is a top tier investment fund and we believe that it is a huge milestone for Siyata to have them as a major shareholder. We enter 2021 with a strong balance sheet and a growing pipeline of large scale opportunities across all segments of our business. Additionally, we believe that there is great potential to acquire revenue generating businesses that are highly complementary to our existing portfolio of innovative cellular devices for first responders and enterprises which we will aggressively pursue in 2021.”

Orion Underwriting and Issuances Ltd. served as the Company’s Israeli placement agent for the offering. In connection with the Offering, the Company paid cash commissions totaling US$652,250 and issued 64,725 broker warrants (the “Broker Warrants”). Each broker warrant entitles the holder thereof to acquire one common share of the Company at a price of US$11.50 for a period of 42 months from the date of issuance.

The offer and sale of the securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an exemption from the registration requirements of the U.S. Securities Act. This news release does not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States.

About Siyata

Siyata Mobile Inc. is a Business-to-Business (B2B) global vendor of next generation Push-To-Talk over Cellular (PoC) devices and cellular booster systems. Its portfolio of in-vehicle and rugged smartphones enable first responders and enterprise workers to instantly communicate, over a nationwide cellular network of choice, to improve communication, increase situational awareness and save lives.

Its portfolio of enterprise cellular booster systems enables first responders and enterprise workers to amplify its cellular signal in remote areas, inside structural buildings where signals are weak and within vehicles for maximum cellular signal strength possible.

Siyata’s common shares trade on the Nasdaq under the symbol “SYTA” and its warrants under “SYTAW”.

Visit siyatamobile.com and unidencellular.com/ to learn more.

On Behalf of the Board of Directors of:
SIYATA MOBILE INC.
Marc Seelenfreund
CEO

Investor Relations:
Trevor Brucato, Managing Director
RBMG (RB Milestone Group LLC)
syta@rbmilestone.com

Sales Department:
Glenn Kennedy, VP Sales
Siyata Mobile Inc.
416-892-1823
glenn_kennedy@siyatamobile.com

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, Siyata is using forward-looking statements in this press release when it discusses its belief that it is a huge milestone for Siyata to have Phoenix Fund as a major shareholder, that it has a growing pipeline of large scale opportunities across all segments of its business and that it believe there is great potential to acquire revenue generating businesses that are highly complementary to our existing portfolio of innovative cellular devices for first responders and enterprises which it will aggressively pursue in 2021.Because such statements deal with future events and are based on Siyata’s current expectations, they are subject to various risks and uncertainties and actual results, performance or achievements of Siyata could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed under the heading “Risk Factors” in Siyata’s filings with the Securities and Exchange Commission (“SEC”), and in any subsequent filings with the SEC. Except as otherwise required by law, Siyata undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release.

FAQ

What is the recent funding announcement for Siyata Mobile (SYTA)?

Siyata Mobile announced a private placement raising US$12,945,000 through the issuance of 129,450 units.

Who led the private placement for Siyata Mobile?

The private placement was led by Phoenix Insurance Investment Fund.

What are the terms of the warrants issued by Siyata Mobile?

Each warrant allows the purchase of a common share at US$11.50 for 42 months.

How will the funds raised by Siyata Mobile be used?

Siyata intends to pursue revenue-generating acquisitions to enhance its existing portfolio.