Black Sparrow Capital Corp.

December 20, 2011 16:28 ET

Black Sparrow Capital Corp. Completes Initial Public Offering

CALGARY, ALBERTA--(Marketwire - Dec. 20, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Black Sparrow Capital Corp. (the "Corporation") is pleased to announce that it has successfully completed its initial public offering (the "Offering") of 4,000,000 common shares (the "Common Shares") at a price of $0.10 per common share for gross proceeds of $400,000 with PI Financial Corp. ("PI Financial"), as agent. As a result of this issuance, the Corporation now has 6,000,000 Common Shares issued and outstanding.

In connection with the Offering, the Corporation granted options to PI Financial to acquire an aggregate of 400,000 common shares (the "Agent's Options") at an exercise price of $0.10 per common share. The Agent's Options will expire 24 months from the date the Common Shares are listed on the TSX Venture Exchange Inc. (the "Exchange"). PI Financial also received a cash commission equal to 10% of the gross proceeds of the Offering and a corporate finance fee.

The Corporation has also granted options to acquire an aggregate of 600,000 Common Shares at an exercise price of $0.10 per option to the directors and officers of the Corporation, which expire 5 years from the date of grant.

The Corporation is a capital pool company under the policies of the Exchange. Pursuant to the Exchange bulletin dated December 20, 2011, the Exchange listed and immediately halted the Common Shares pending receipt of certain documentation by the Exchange. The Corporation now intends to make application for final approval and it is expected that the Common Shares will commence trading on the Exchange under the trading symbol "BLC.P".

Investors are cautioned that trading in the securities of a capital pool company should be considered highly speculative.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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

  • Black Sparrow Corp.
    Michael Galloro
    President, Chief Executive Officer,
    Chief Financial Officer and Director
    (416) 907 5644 ext. 105