Quinsam Capital Corporation

Quinsam Capital Corporation

February 04, 2014 08:05 ET

Quinsam Announces Non-Brokered Private Placement and Updates Investors on the Company's Positive Investment Performance

TORONTO, ONTARIO--(Marketwired - Feb. 4, 2014) -


Quinsam Capital Corporation (CSE:QCA) ("Quinsam" or the "Company") today announced that it will proceed with a best efforts non-brokered private placement financing of up to 50 million common shares of Quinsam at a price of $0.10 per share for gross proceeds of up to $5,000,000 ("the Offering"). The proceeds of the Offering will be used for investment activities and working capital purposes.

In connection with this placement, Quinsam may pay an 8% cash finder's fee to certain eligible arm's length finders. The Offering is subject to certain conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the Canadian Securities Exchange ("CSE"). There can be no assurance that the private placement will be completed as proposed. Subject to the receipt of the conditional approval of the Canadian Stock Exchange, closing is expected on or about February 28, 2014.

The CEO of Quinsam, Roger Dent, has indicated his intention to participate as a buyer in the Offering.

Performance Update

Quinsam would also like to take this opportunity to update investors on the Company's recent investment performance.

Since embarking on a new strategy with a new team in November 2013, the corporation has invested an aggregate of approximately $651,000. As at the end of January, the unaudited aggregate value of these investments (including the net proceeds of investments already sold) is approximately $767,000.

As at the end of January 2014, the unaudited total value of the Quinsam's cash and equity investments has increased to approximately $913,000.

Roger Dent stated, "We are very pleased with our investments to date as a number of our investee companies have performed well. We are particularly pleased with the progress by Enterprise Group, Inc. Bri-chem Corp., Questor Technology Inc. and Grande West Transportation Group Inc. We continue to be optimistic about market conditions in our areas of focus and we would like to raise funds to position ourselves in more companies that we believe are undervalued."

About Quinsam Capital Corporation

Quinsam is a merchant bank based in Canada. Our merchant banking business encompasses a range of activities including acquisitions, advisory services, lending activities and portfolio investments. Quinsam invests its capital for its own account in assets, companies or projects which we believe are undervalued and where we have a viable plan for unlocking such value. We do not invest on behalf of any third party, and do not offer investment advice.

This press release may contain forward-looking statements relating to anticipated future events, results, circumstances, performance or expectations that are not historical facts but instead represent our beliefs regarding future events, which are inherently uncertain. Forward-looking statements can often, but not always, be identified by forward-looking words such as "anticipate", "believe", "continue", "expect", "goal", "plan", "intend", "estimate", "may", "project", "predict", "potential", "target", and "will" or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance.

By their nature, forward-looking statements require us to make assumptions which include, among other things, that (i) Quinsam will have sufficient capital under management to effect its business strategies, (ii) the business strategies will produce the results intended by Quinsam, and (iii) the markets will react and perform in a manner consistent with the business strategies.

Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. The Company believes that the expectations reflected in the forward-looking information are reasonable but no assurance can be given that these expectations will prove to be correct. Some of the risks and other factors that could cause actual results to differ materially from those expressed in forward-looking information expressed in this press release include, but are not limited to: market and general economic conditions, interest rates, regulatory and statutory developments, the nature of the Company's investments, the available opportunities and competition for investments, the concentration of the Company's investments in certain industries and sectors, reliance on key personnel, risks affecting the Company's investments, management of the growth of the Company, and exchange rate fluctuations. Readers are cautioned that the foregoing list of risks and factors is not exhaustive. Although the Company has attempted to identify important factors that could cause actual events or results to differ materially from those described in forward-looking information, there may be other factors that cause events or results to differ from those intended, anticipated or estimated.

The forward-looking information contained herein is provided as at the date of the date of this press release, based upon the opinions and estimates of management and information available to management as at the date of this press release. The Company does not undertake and specifically disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, unless required by applicable law. Readers are cautioned not to place undue reliance on forward-looking information contained in this press release.

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