REGINA, SASKATCHEWAN--(Marketwired - Feb. 5, 2014) - STORAGEVAULT CANADA INC. ("StorageVault") (TSX VENTURE:SVI) is pleased to announce that StorageVault intends to complete a non-brokered private placement of a combination of half warrant units (each, a "Half Warrant Unit") and full warrant units (each, a "Full Warrant Unit") at a price of $0.30 per either a Half Warrant Unit or a Full Warrant Unit for aggregate gross proceeds of $1,000,000 (3,333,333 units) (the "Offering"). Each Half Warrant Unit will be comprised of one common share ("Common Share") in the share capital of StorageVault and one-half (1/2) of one Common Share purchase warrant (a "$0.35 Warrant") with each whole $0.35 Warrant being exercisable for four years from the closing of the Offering into one Common Share at an exercise price of $0.35 per share. Each Full Warrant Unit will be comprised of one common share ("Common Share") in the share capital of StorageVault and one full Common Share purchase warrant (a "$0.37 Warrant") with each whole $0.37 Warrant being exercisable for four years from the closing of the Offering into one Common Share at an exercise price of $0.37 per share. StorageVault will only be issuing a maximum of $850,000 of Full Warrant Units pursuant to the Offering (a maximum of 2,833,333 Full Warrant Units). Closing of the Offering is anticipated to occur on or around mid-February, 2014.
Proceeds of the Offering will be used for the continued expansion of PUPS Portable Storage in 2014, including the launch of new locations in Edmonton AB, and London, ON.
It is not anticipated that any new insiders will be created, nor that any change of control will occur, as a result of the Offering. Completion of the Offering is subject to regulatory approval, including approval of the TSX Venture Exchange.
Further to the press release dated January 20, 2014, StorageVault has decided to terminate the evaluation of the unsolicited non-binding proposal to acquire specific assets from a private arm's length third party (the "Proposal") first disclosed in the January 20, 2014 press release. StorageVault will not be proceeding with the Proposal nor any acquisition arising from the Proposal.
About StorageVault Canada Inc.
StorageVault currently owns and operates Trans Can Mini-Stor in Regina, Kenaston Self Storage in Winnipeg, B&B Self Storage in Cambridge, Parksville Mini Storage in the Regional District of Nanaimo, Space Place Self Storage in Calgary, Airport Road Self Storage in London and Canadian PUPS in Saskatoon. Trans Can Mini-Stor, Kenaston Self Storage, B&B Mini Storage, Parksville Mini Storage and Space Place Self Storage are fixed unit storage facilities operating in conjunction with Canadian PUPS portable storage franchises at each location. StorageVault operates Canadian PUPS Portable Storage in Saskatoon as a stand-alone portable storage franchise. StorageVault also manages five self-storage facilities in southern Ontario and intends to continue to grow its business through the acquisition of additional self-storage properties, and organically as master franchisee through the development of Canadian PUPS portable storage facilities in Canada.
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.
Forward-Looking Information: This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. In particular, this news release contains forward-looking information regarding: the Offering, the closing of the Offering and the use of proceeds of the Offering, including the potential expansion of PUPS Portable Storage. There can be no assurance that such forward-looking information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such forward-looking information. This forward-looking information reflects StorageVault's current beliefs and is based on information currently available to StorageVault and on assumptions StorageVault believes are reasonable. These assumptions include, but are not limited to, the market acceptance of the Offering, the ability of StorageVault to complete the Offering in a timely manner, TSX Venture Exchange approval of the Offering, the use of proceeds of the Offering continuing to be acceptable and approved by the board of directors of StorageVault and the cost of expansion of future PUPS locations approximating past expansion costs for PUPS locations. Forward- looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of StorageVault to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: general business, economic, competitive, political and social uncertainties; capital market conditions and market prices for securities and junior market securities; the actual results of StorageVault's business operations; competition; changes in legislation, including environmental legislation, affecting the StorageVault; timing and availability of external financing on acceptable terms; and lack of qualified, skilled labour or loss of key individuals. A description of additional assumptions used to develop such forward-looking information and a description of additional risk factors that may cause actual results to differ materially from forward-looking information can be found in StorageVault's disclosure documents on the SEDAR website at www.sedar.com. Although StorageVault has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. StorageVault does not undertake to update any forward-looking information except in accordance with applicable securities laws.