MPAC Industries Corporation
TSX VENTURE : MPN

MPAC Industries Corporation

November 16, 2005 10:38 ET

MPAC Industries Corporation Closes Private Placement and Graduates to TSX-V Tier 2

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 16, 2005) - Further to news releases dated July 20, 2005 and October 4, 2005, MPAC Industries Corporation (the "Company" or "MPAC") (TSX VENTURE:MPN) is pleased to announce the closing of its private placement of 6,004,000 Units at $0.11 per Unit, (the "Private Placement"). Each Unit consists of one (1) common share (a "Share") of the Company and one half of a warrant (a "Warrant"). Each full Warrant entitles the holder to purchase one additional Share of MPAC at a price of $0.20. The Warrant will be exercisable for as period of one (1) year from the closing date.

Blackmont Capital Inc. ("Blackmont") acted as agent in connection with the Private Placement and as sponsor in connection with the Company's change of business and graduation to Tier 2 of the TSX Venture Exchange (the "Reactivation"). The Reactivation involved the Company entering into the coal refining business in Turkey as described in the Company's October 4, 2005 news release and the Private Placement.

Blackmont received Broker's Warrants based on ten (10%) per cent of gross proceeds of the Private Placement. Each Broker's Warrant entitles Blackmont to purchase one Share of MPAC for $0.20 for a period of one year following the closing date of the offering.

The Company will use the proceeds from the offering to purchase/lease, ship and install coal processing/refining equipment in Turkey, as well as for general working capital.

Effective at the opening of the market on November 16, 2005, the Company will be listed on TSX-V Tier 2 and trade under the symbol MPN.

The Shares and any shares issued on the exercise of the Warrants are subject to a hold period expiring on March 5, 2006. 3,273,367 Shares of the Company held by principals of the Company are subject to an escrow for six months.

BY THE ORDER OF THE BOARD

Firoz Lakhani, President and Chief Executive Officer

TSX has neither reviewed, accepted or commented upon the content or accuracy of this News Release.

Contact Information

  • MPAC Industries Corporation
    Firoz Lakhani
    President and Chief Executive Officer
    (604) 551-7697