An anonymous director reports
CONVERGE TECHNOLOGY SOLUTIONS CORP. ANNOUNCES UPSIZE TO PREVIOUSLY ANNOUNCED BOUGHT DEAL FINANCING
Converge Technology Solutions Corp. has entered into an amended agreement with a syndicate of underwriters led by Canaccord Genuity Corp., as sole bookrunner, Scotiabank and CIBC Capital Markets as co-lead underwriters, to increase the size of its previously announced offering of common shares. Under the amended terms, the underwriters have agreed to purchase, on a bought deal basis, 21.35 million common shares of the company at a price of $10.55 per offered share for gross proceeds to the Company of $225,242,500.
In addition, Converge has granted the underwriters an option, exercisable at any time, in whole or in part, until the date that is 30 days following the closing of the offering, to purchase up to an additional 3,202,500 common shares of the company solely to cover overallotments, if any, and for market stabilization purposes. In the event the overallotment option is exercised in full, the aggregate gross proceeds of the offering will be $259,028,875.
Converge intends to use the net proceeds from the offering for acquisitions, working capital and other general corporate purposes.
The offering will be conducted in each of the provinces of Canada by way of a prospectus supplement to the company's short form base shelf prospectus dated July 12, 2021, and elsewhere on a private placement basis. Converge intends to file the prospectus supplement with the securities regulatory authorities in each of the provinces of Canada, which will be available on SEDAR under the company's profile.
The offering is scheduled to close on or about Sept. 1, 2021, and is subject to customary closing conditions, including listing of the offered shares on the Toronto Stock Exchange and any required approvals of the exchange and applicable securities regulatory authorities.
Technology Solutions Corp.
Converge is a software-enabled IT and cloud solutions provider focused on delivering industry-leading solutions and services. Converge's regional sales and services organizations deliver advanced analytics, cloud and cybersecurity offerings to clients across various industries. The company supports these solutions with managed services, digital infrastructure and talent expertise offerings across all major IT vendors in the marketplace. This multifaceted approach enables Converge to address the unique business and technology requirements for all clients in the public and private sectors.
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