LETHBRIDGE, ALBERTA--(Marketwired - May 6, 2014) - Robix Alternative Fuels Inc. ("Robix" or the "Corporation") (CSE:RZX) announced today that it has increased the size of and closed its previously announced non-brokered private placement of units. Robix issued 1,775,429 units at a price of $0.33 per unit, for gross proceeds of $585,892. Each unit consists of one common share and one common share purchase warrant. Each warrant entitles the holder thereof to acquire one additional common share at a price of $0.45 per share for a period of two years after the closing. If, at any time, the closing price of the common shares on the Canadian Securities Exchange is at least $0.54 for a minimum of 10 consecutive trading days (whether or not trading occurs on all such days), the Corporation may, at its option, accelerate the expiry date of the warrants by giving written notice thereof to all holders of warrants, and, in such case, the warrants will expire on the date which is the earlier of: (i) the 30th day after the date on which such written notice is given by the Corporation; and (ii) the original expiry date.
Finder's acting in connection with the private placement received aggregate fees of $44,681.93 and an aggregate amount of 135,400 finder's warrants. Each finders warrant entitles the holder to purchase one common share at a price of $0.33 for a period of two years after the closing.
Robin Ray, the Chief Financial Officer and a director of Robix, subscribed for 90,909 units and David Edwards, a director of Robix, subscribed for 22,272 units under the private placement. Robix has determined that exemptions from the various requirements of Multilateral Instrument 61-101 are available for the issuance of the units (Formal Valuation - Issuer Not Listed on Specified Markets; Minority Approval - Fair Market Value Not More Than 25% of Market Capitalization).
All securities issued in connection with the offering are subject to a hold period that expires on September 7, 2014. The net proceeds from the offering will be used to finance the Corporation's continuing capital program and for general working capital purposes.
The Corporation is an "industrial products/technology" company, offering to investors a unique opportunity to participate in a leading company in the business of ownership of patents, and their development from commercialization to worldwide expansion through various business arrangements. Robix owns a Clean Ocean Vessel ("COV") patent, which is an oil spill recovery vessel design with the capability to recover oil in rough and debris laden sea conditions. Robix has recognized a worldwide market opportunity for effective containment, recovery and disposal equipment, particularly in the oil spill protection industry, and it proposes to develop a business model as a service provider, and/or equipment provider under licensing agreements with other industry participants, wherein Robix will use its COV patented design solution.
No stock exchange or any securities regulatory body has reviewed the contents of this news release.
This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, are forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company's disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.