MTI Global Inc.
TSX : MTI

MTI Global Inc.

September 21, 2009 18:18 ET

MTI Global Announces Closing of Share Issuance

MISSISSAUGA, ONTARIO--(Marketwire - Sept. 21, 2009) - MTI Global Inc. (the "Company") (TSX:MTI) announced today that it has closed the previously announced private placement of 2,600,000 common shares to Wellington Financial LP ("Wellington") which was completed pursuant to the Company entering into a new $7.4 million subordinated debt financing agreement with Wellington.

The issuance of the common shares to Wellington constitutes a shares-for-debt private placement (the "Private Placement") under the rules of the Toronto Stock Exchange (the "TSX"). Wellington is an unrelated arms-length party to the Company and the issuance of the common shares will not materially affect control of the Company. The number of common shares issuable pursuant to the Private Placement will represent in aggregate approximately 9.3% of the 27,808,334 currently issued and outstanding common shares of the Company on a non-diluted basis. Wellington, upon issuance of the common shares, will own approximately 8.5% of the issued and outstanding common shares of the Company.

The Private Placement is subject to the approval of the TSX, and since the Private Placement will provide for the issuance of additional common shares to Wellington rather than warrants pursuant to the Private Placement, the rules of the TSX require that the Company obtain approval of the Private Placement from the holders of a majority of the voting shares of the Company. However the rules of the TSX also provide that such approval may be obtained in writing from shareholders without the requirement to convene a shareholders' meeting for such purposes. The Company has obtained the necessary shareholder approval and is relying on this exemption in connection with the Private Placement.

About MTI Global:

MTI Global Inc. (TSX:MTI) designs, develops and manufactures custom-engineered products using silicone and other cellular materials. The Company serves a variety of specialty markets focused on two main areas: Silicone and MTI Polyfab comprising Aerospace and Fabricated Products. The Company designs and fabricates energy management systems from a variety of flexible, cellular materials. MTI Global also produces and distributes specialty silicone elastomer products. MTI Global's primary markets are aerospace and mass transit. Secondary markets include sporting goods, automotive, industrial, institutional, electronics, and the medical market through a 51% interest in MTI Sterne SARL of Cavaillon, France. MTI Global's head office and Canadian manufacturing operations are located in Mississauga, Ontario, with international manufacturing operations located in Bremen, Germany, Milton, Florida and a contract manufacturer venture in Ensenada, Mexico. The Company also maintains engineering support centres in Brazil and Toulouse, France. The Company's website is www.mtiglobalinc.com.

Contact Information

  • MTI Global Inc.
    Bill Neill
    President and Chief Executive Officer
    (905) 564-9700
    or
    Fleishman-Hillard Canada
    Anne Lachance
    Investor Relations
    (416) 214-0701