Clearwater Seafoods Incorporated Announces Closing of $5.25 Million Over-Allotment Option

Mon, 27 Jun 2016

Not for distribution to U.S. newswire services or for dissemination in the United States

HALIFAX, June 27, 2016 /CNW/ – Clearwater Seafoods Incorporated (TSX: CLR) (the "Company" or "Clearwater") announced today, that pursuant to the completion of its bought deal offering (the "Offering") announced on June 21, 2016, the syndicate of investment dealers led by Cormark Securities Inc. and including Beacon Securities Limited and Scotia Capital Inc. ( the "Underwriters") have elected to exercise the over-allotment option, in full, with the issuance by the Company of an additional 377,700 common shares (the "Shares") at a price of $13.90 per Share for additional gross proceeds of $5,250,030.  The issuance of Shares pursuant to the exercise of the over-allotment option increases the aggregate gross proceeds of the Offering and concurrent non-brokered private placement to approximately $55 million.

The net proceeds to the Corporation from the exercise of the over-allotment option will be used for repayments on revolving debt facilities, growth opportunities, working capital and general corporate purposes.

The Shares were also offered in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended.

This news release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.

This news release may contain "forward-looking information" as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding future plans and objectives of Clearwater, constitute forward-looking information that involve various known and unknown risks, uncertainties, and other factors outside management’s control. Forward-looking information is based on a number of factors and assumptions which have been used to develop such information but which may prove to be incorrect including, but not limited to, total allowable catch levels, selling prices, weather, exchange rates, fuel and other input costs. There can be no assurance that such information will prove to be accurate and actual results and future events could differ materially from those anticipated in such forward-looking information.

For additional information with respect to risk factors applicable to Clearwater, reference should be made to Clearwater’s continuous disclosure materials filed from time to time with securities regulators, including, but not limited to, Clearwater’s Annual Information Form. The forward-looking information contained in this release is made as of the date of this release and Clearwater does not undertake to update publicly or revise the forward-looking information contained in this release, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

No regulatory authority has approved or disapproved the adequacy or accuracy of this news release.

About Clearwater
Clearwater is one of North America’s largest vertically integrated seafood companies and the largest holder of shellfish licenses and quotas in Canada. It is recognized globally for its superior quality, food safety, diversity of species and reliable worldwide delivery of premium wild, eco-certified seafood, including scallops, lobster, clams, coldwater shrimp, langoustines, crab, welk and groundfish.

Since its founding in 1976, Clearwater has invested in science, people and technological innovation as well as resource ownership and management to sustain and grow its seafood resource. This commitment has allowed it to remain a leader in the global seafood market and in sustainable seafood excellence.


SOURCE Clearwater Seafoods Incorporated

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