Mosaic Capital Corporation announces C$28.8 million marketed financing

Date Closed: 6/20/2014

Value: C$28.8 million

On June 20, 2014, Mosaic Capital Corporation (Mosaic) announced the closing of its previously announced public offering (Offering) of 2,524,240 units (Units), at a price of $11.40 per Unit, for total gross proceeds of C$28,776,336. Included in the closing were 329,240 Units ($3,753,336) from the exercise of the over-allotment option described in Mosaic’s short form prospectus dated June 13, 2014 (the Prospectus).

Each Unit is comprised of one preferred security (a Preferred Security) in the capital of Mosaic and one-quarter (0.25) of one common share purchase warrant (a Warrant). Each full Warrant entitles the holder to purchase one common share (a Common Share) in the capital of Mosaic at an exercise price of $15.50 for 18 months following completion of the Offering. At any time the 20-day volume weighted average price of a Common Share listed on the TSX Venture Exchange is equal to or above $18.00, the expiry date of the Warrants may, at the election of Mosaic, be accelerated to a date that is 30 days after notice is provided by Mosaic to holders of the Warrants, all as more particularly described in a Warrant indenture between Mosaic and Olympia Trust Company dated June 20, 2014.

The Offering was conducted through a syndicate of agents co-led by Clarus Securities Inc. and Canaccord Genuity Corp. and including Raymond James Ltd., National Bank Financial Inc. and Mackie Research Capital Corporation.

BLG represented Clarus Securities Inc. with a team led by Kent Kufeldt that included Richard Bennett, Scott Cedergren and Jenna Kaye.