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June 14, 2011
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Mint Oversubscribes $6,000,000 Private Placement
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TORONTO, ONTARIO--(Marketwire - June 14, 2011) -
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
Mint Technology Corp. (TSX VENTURE:MIT) announced today that it has completed a subsequent drawdown of the $6,000,000 private placement announced on March 24, 2011. A brokered private placement of units (the "Units") for gross proceeds of $187,500 and $563,765 (the "Closings") closed on June 7th and June 9th, 2011 respectively. Under the Closings, Mint issued 6,010,120 units at $0.125 per unit. Each Unit consisted of one common share and one common share purchase warrant. Each warrant is exercisable for one common share at an exercise price of $0.15 on or before May 31, 2013.
The net proceeds of the Closings will be used for completing the acquisition of the card portfolio announced on May 19th, 2011 and general working capital purposes. These Closings, in conjunction with the closing for $3,100,000 announced on May 26, 2011, bring the current total of the $6,000,000 placement to approximately $3,851,265. The Company has received further subscription agreements which it intends to close in the next 7 - 10 business days and which, together with the subscription for USD$1,000,000 of units by Mint insider Maher Kaddoura announced on May 25, 2011, will oversubscribe the placement to approximately $6,200,000. One subscription for $500,000 is to close following the purchase of the minority interest in Mint Middle East LLC from Nabil Bader and Maher Kaddoura and Mint intends to apply for separate stock exchange approval of this subscription.
Tera Capital Corporation acted as agent in connection with the Closings and Integral Wealth Securities Limited acted as an agent in connection with the June 9th Closing. Tera Capital Corporation was paid a cash fee equal to 5% of the gross proceeds of the closing on June 7th as well as 75,000 compensation warrants and a cash fee equal to 2% of the gross proceeds of the closing on June 9th along with 90,202 compensation warrants. Integral Wealth was paid a cash fee equal to 5% of the gross proceeds of the closing on June 9th as well as 225,506 compensation warrants. Each compensation warrant entitles the holder to acquire one Unit for a price of $0.125 at any time until May 31, 2013. The Units issued to the agent are on the same terms as the Units issued under the Offering.
The securities issued in the Closings are subject to a hold period which expires on October 8, 2011 (as to 1,500,000 Units) and October 10, 2011 (as to 4,510,120 Units). Following completion of the Closings, there are approximately 118,960,116 issued and outstanding common shares of Mint.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to a "U.S. Persons" as such term is defined in Regulation S under the U.S. Securities Act unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from registration is available.
ABOUT MINT TECHNOLOGY CORP
Mint Technology Corp. is a pioneer in prepaid financial products and services and was Canada's first provider of prepaid credit card programs. Today, Mint, through its subsidiary Mint Middle East LLC based in Dubai, UAE, designs, builds and manages an end-to-end card based payments solution for employers and employees for the payment of wages and benefits. Mint has developed a secure, robust payments platform that provides an improved means to handle and manage these financial transactions. Mint also provides services for those clients looking to move towards "next generation" payment methods that include chip, internet, data mining and mobile phone load and money remittance technologies.
Stock Symbol: MIT on the TSX Venture Exchange.
Forward-Looking Statements
Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or our future performance. Forward-looking statements include the purchase of the prepaid card portfolio referred to above and the further subscription agreements received which have not yet closed. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. Forward-looking statements reflect current expectations regarding future events and operating performance and speak only as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of Mint believes are reasonable assumptions on the date of this news release, Mint cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and Mint disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
For additional information please visit www.mintinc.com.
NEITHER 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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