Mr. Nasim Tyab reports

VATIC ANNOUNCES CLOSING OF RIGHTS OFFERING

Vatic Ventures Corp. has closed its previously announced rights offering. Under the rights offering, on Aug. 24, 2018, 1,122,736 units of the company were distributed at a price of 18 cents per unit for gross proceeds of approximately $202,092. Each unit consisted of one common share in the capital of Vatic and one transferable common share purchase warrant, with each warrant exercisable into one share at an exercise price of 25 cents for a period of 24 months from the closing date. The warrants will not be listed for trading on the TSX Venture Exchange, as the minimum distribution and other listing requirements of the exchange were not satisfied.

A total of 1,017,403 units were subscribed for by rights holders pursuant to the basic subscription privilege attached to the rights, and a total of 105,333 units were subscribed for by rights holders pursuant to the additional subscription privilege attached to the rights. No units were subscribed for by insiders of the company under the basic subscription privilege or the additional subscription privilege.

As previously announced, Mackie Research Capital Corp. acted as exclusive soliciting dealer on a commercially reasonable efforts basis in connection with the rights offering in consideration for: (i) a corporate finance fee of $40,000 plus GST; (ii) a cash commission equal to 10 per cent of the proceeds of the rights offering; (iii) the issuance of non-transferable options to acquire 694,444 shares at a price of 18 cents per share for a period of 24 months from the closing date; and (iv) the issuance of non-transferable options to acquire 112,273 units.

Immediately after the issuance of the units on the closing date, the company had 24,599,769 shares issued and outstanding.

We seek Safe Harbor.