Closing of Transaction to Purchase Common Shares for Cancellation
BIOREM is pleased to announce that it has completed the transaction to purchase for cancellation 23,434,121 common shares at $0.5256 per common share from TPFG Environment Investment Limited (“TPFG”) for an aggregate purchase price of $12,316,974 (the “Share Repurchase”).
The Share Repurchase was previously announced on August 5, 2021 and approved by disinterested shareholders at a Special Shareholders meeting held September 16, 2021. The Share Repurchase was financed through the use of a portion of the Company’s existing cash reserves and the proceeds from the issuance of $4 million in term debt and a $1 million operating line of credit. Immediately following the closing of the Share Repurchase, the Company has 15,477,437 issued and outstanding Common Shares.
“This is a significant milestone for the Company” said Derek Webb, President and CEO of Biorem. “We believe that the purchase and cancellation of this large block of shares will result in significant long term accretion of earnings per share and share value to Biorem shareholders.”
In connection with the Share Repurchase, Mr. Ken Chen and Ms. Wei Han have resigned as directors of the Company. The Nominating and Corporate Governance Committee of the Board of Directors is in the process of identifying candidates to act as replacement directors until the next annual meeting of the Company.