Arrowhead Water Products Ltd.
TSX VENTURE : AWP.A

Arrowhead Water Products Ltd.

March 29, 2010 08:30 ET

Arrowhead Water Announces Closing of Private Placement

CALGARY, ALBERTA--(Marketwire - March 29, 2010) - Arrowhead Water Products Ltd. ("Arrowhead" or the "Company") (TSX VENTURE:AWP.A) is pleased to announce that, subject to final regulatory and TSXV approval, it has closed its previously announced private placement (the "Private Placement"). The Private Placement was fully subscribed for a total of $900,000 of Units issued at $0.025 per Unit. The Company issued 36,000,000 Class A Common Shares (the "Common Shares") and 36,000,000 Purchase Warrants (the "Warrants"). Each Warrant entitles the holder to acquire one share of the Company at a price of $0.03 per share until expiry on March 31, 2011. The Company paid Finder's Fees to non-related parties of the Company of $72,000 and 2,880,000 options. The Common Shares and Warrants issued pursuant to the Private Placement are subject to a four month hold period.

The Company also advises that it is proceeding with its previously announced Rights Offering. The Company plans to mail the Rights Offering Circular to all holders of Common Shares in qualifying jurisdictions about the middle of April, 2010, with closing contemplated for the first week of May, 2010. The terms of the Rights Offering are similar to the terms of the Private Placement and consists of Units issued at $0.025 per Unit and comprised of one (1) Common Share and one (1) Common Share Purchase Warrant (the "Warrants"). Each Warrant entitles the holder to acquire one (1) Common Share of the Company at a price of $0.03 per share until expiry on March 31, 2011. The Company anticipates that it will raise approximately $200,000 to $300,000 of additional funds in the Rights Offering.

About Arrowhead Water

Arrowhead Water is Canada's largest Canadian owned, publicly traded water company which is engaged in the production, sale and distribution of large format (15 and 18.9 litre) bottled drinking water. Arrowhead produces and delivers bottles of reverse osmosis, distilled and natural spring water to the Western Canadian retail and wholesale market. Arrowhead remains committed to continually improve its level of service to its customers and to provide positive returns to its shareholders.

READER ADVISORY

This press release may include forward-looking statements and assumptions respecting the Company's strategies, future operations, expected financial results, financial sources, commodity prices, costs of production and quantum of oil and natural gas reserves and discusses certain issues, risks and uncertainties that can be expected to impact on any of such matters. By their nature, forward-looking statements are subject to numerous risks and uncertainties that can significantly affect future results. Actual future results may differ materially from those assumed or described in such forward-looking statements as a result of the impact of issues, risks and uncertainties whether described herein or not, which the company may not be able to control. The reader is therefore cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any intention or obligation to update or revise these forward-looking statements, as a result of new information future events or otherwise.

Issued and Outstanding Shares: 66,832,530

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Arrowhead Water Products Ltd.
    Donald W. Wood
    President and Chief Executive Officer
    (403) 692-8259
    (403) 243-1485 (FAX)
    dwood@arrowheadwater.ca
    or
    Arrowhead Water Products Ltd.
    5730 Burbank Road SE
    Calgary, Alberta T2H 1Z4