CALGARY, Alberta, Feb. 20, 2020 (GLOBE NEWSWIRE) -- Founders Advantage Capital Corp. (TSX-V: FCF) (“FAC” or the “Corporation”) is pleased to announce that Gary Mauris and Chris Kayat (collectively, the “DLC Principals”) have entered into agreements to acquire an additional 5,305,529 class “A” common shares of the Corporation (the “Purchased Shares”). The DLC Principals agreed to acquire the Purchased Shares from Harrington Global Opportunities Fund Limited (“Harrington”) in a private transaction for aggregate gross proceeds of approximately $9.29 million or $1.75 per share. Upon completion of the transaction, the DLC principals will own or control an aggregate of 12,672,931 class “A” common shares of the Corporation (being 33.2% of the Corporation’s issued and outstanding shares). The transaction is expected to close February 24, 2020.
The DLC Principals founded Dominion Lending Centres Inc. (“DLC”) and continue to own a 40% equity interest in DLC in partnership with the Corporation. The DLC Principals are also directors and executive officers of DLC and directors of the Corporation.
James Bell, President and Chief Executive Officer of the Corporation commented: “We are thrilled to have Gary and Chris increasing their ownership interest in the Corporation. Gary and Chris have been exceptional business partners to FAC since 2016 and having them increase their share ownership speaks volumes as to their confidence in DLC, Club16 and Impact.”
Gary Mauris commented: “Chris and I have worked tirelessly to build the DLC Group of Companies into Canada’s largest mortgage originator and we wanted to send a clear message that we’re not done building the DLC Group of Companies and that we’re committed to FAC, DLC and our fantastic owners and agents for the long-term.”
About Founders Advantage Capital Corp.
The Corporation is listed on the TSX Venture Exchange as an Investment Issuer (Tier 1) and employs a permanent investment approach.
The Corporation’s common shares are listed on the TSX Venture Exchange under the symbol “FCF”.
For further information, please refer to the Corporation’s website at www.advantagecapital.ca.
Contact information for the Corporation is as follows:
President & Chief Executive Officer
Chief Financial Officer
Sr. Vice-President, Capital Markets
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.
Cautionary Statement Regarding Forward-Looking Financial Information
Certain statements in this document constitute forward-looking information under applicable securities legislation. Forward looking information typically contains statements with words such as "anticipate", "believe", "estimate", "will", "expect", "plan", "schedule", "intend", "propose", or similar words suggesting future outcomes or an outlook. Forward-looking information in this document includes, but is not limited to the expected closing date for the sale and purchase of the Purchased Shares.
Although the Corporation believes that the expectations reflected in such forward-looking information are reasonable, undue reliance should not be placed on them as the Corporation can give no assurance that such expectations will prove to be correct. Forward-looking information is based on expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by the Corporation and described in the forward-looking information.
The forward-looking information contained in this document is made as of the date hereof and, except as required by applicable securities law, the Corporation undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise.
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