CounterPath Announces Private Placement
Vancouver, BC, Canada — June 9, 2020 — CounterPath Corporation ((NASDAQ:CPAH) (TSX:PATH) (the “Company” or “CounterPath”), a global provider of award-winning Unified Communications and Collaboration (UCC) solutions for enterprises and service providers, is pleased to announce a non-brokered brokered private placement of 284,902 shares of common stock (each, a “Share”) of the Company at a price of US$3.51 for gross proceeds of US$1,000,006 (the “Offering”).
The net proceeds from the Offering will be used to pay down Company debt and for general corporate purposes.
Insiders of the Company will subscribe for an aggregate of 142,451 Shares. The Offering will constitute a related party transaction under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The issuance to the insiders will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 because neither the fair market value of the subject matter of the transaction nor the consideration paid exceeded 25% of the Company’s market capitalization.
All of the securities issued by the Company in connection with the Offering will be subject to a hold period expiring four months and one day after closing of the Offering under Canadian securities laws and a hold period under United States securities laws. None of the securities to be issued will be registered under the United States Securities Act of 1933, as amended (the “1933 Act”), and none of them may be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the 1933 Act. This press release shall not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of the securities in any state where such offer, solicitation, or sale would be unlawful.
About CounterPath
CounterPath Corporation (NASDAQ: CPAH) is revolutionizing how people communicate in today’s modern mobile workforce. Its award-winning Bria solutions for desktop and mobile devices enable organizations to leverage their existing PBX or hosted VoIP service to extend seamless and secure unified communications and collaboration to users regardless of their location and network. CounterPath technology meets the unique requirements of several industries, including contact center, retail, warehouse, hospitality, and healthcare verticals. Its solutions are deployed world-wide by 8×8, Airbnb, AmeriSave, BT, Citibank, Comcast, Fusion, Fuze, Liberty Global, Uber, Windstream and others. Learn more at counterpath.com and follow on Twitter @counterpath.
Contacts
David Karp
Chief Executive Officer
