Smart Employee Benefits Inc.
TSX VENTURE : SEB

Smart Employee Benefits Inc.

November 07, 2013 10:17 ET

SEB Announces Proposed Unit Offering of up to $500,000

TORONTO, ONTARIO--(Marketwired - Nov. 7, 2013) - Smart Employee Benefits Inc. ("SEB") (TSX VENTURE:SEB), is pleased to announce it intends to complete an equity private placement of up to $500,000 by issuing up to 1,250,000 of units (the "Units") at a purchase price of $0.40 per Unit, with each Unit consisting of 1 common share of SEB and 1 common share purchase warrant of SEB (the "Share Purchase Warrant"). Each Share Purchase Warrant shall be exercisable for 1 common share of SEB at any time for a three (3) year term from the date of closing at an exercise price of $0.50 in year one, $0.55 in year two, and $0.65 in year three.

SEB has entered into a Finder's Fee Agreement with BBS Securities Inc. (the "Finder"), pursuant to which the Finder will receive a cash fee of 5% of the gross proceeds raised from subscriptions in the private placement from persons introduced to SEB by the Finder, as well as finder warrants (the "Finder Warrant") equal to 6% of the number of Units of SEB issued with respect to subscriptions by persons introduced to SEB by the Finder. Each Finder Warrant shall be exercisable for a period of two years from the closing date at an exercise price of $0.40 for 1 common share of SEB.

Proceeds from the private placement will be used for acquisitions and working capital requirements.

All securities issued in connection with the private placement are subject to a four month hold period from the date of closing. The private placement is subject to regulatory approval.

About SEB: SEB is a technology company providing software, solutions and services specializing in managing group benefit solutions and healthcare claims processing environments for corporate and government clients. This is a $56.0 billion industry, of which over $33.0 billion is employee group benefit plans and over $23.0 billion of other healthcare benefit claims (e. g. workers' compensation claims, travel benefits, various federal and provincial government programs, dental associations, drug associations, etc.). In the employee group benefits industry, SEB operates as a licensed Third Party Administrator ("TPA") and Insurance Broker utilizing its software platform to provide "totally hosted PCI compliant supply chain solutions" for managing the complete group benefits business processes between insurers, clients, brokers, consultants, technology service providers and healthcare service providers. In healthcare claims processing, SEB also operates as a systems integrator utilizing its technology platform together with other technologies to provide customized solutions for highly specialized environments (e.g. travel claims, etc.). The technology and expertise deployed in this area also allows SEB to provide other related supply chain, systems integration and human resource solutions and services to the same clients.

For further information about the company, please visit www.seb-inc.com.

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.

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