Saskatoon, SK., Aug. 20, 2024 (GLOBE NEWSWIRE) — Draganfly Inc. (NASDAQ: DPRO) (CSE: DPRO) (FSE: 3U8A) (“Draganfly” or the “Company”), a developer of drone solutions and systems, today announced that it has entered into a securities purchase agreement with a single institutional investor to acquire 16,666,666 units of the Company, each Unit consisting of one common share (or one pre-funded warrant to purchase one common share instead) and one warrant to purchase one common share. Each Unit was sold at a public offering price of $0.12 for gross proceeds of approximately $2.0 million (the “Offering”), before deducting underwriting discounts and offering expenses. The Warrants have an exercise price of approximately $0.15 (CA$0.2048) per share, are immediately exercisable and expire five years from the date of issuance. The exercise price is denominated in Canadian currency.
Maxim Group LLC is acting as sole placement agent for the offering.
The offering is subject to customary closing conditions, including the receipt of all necessary regulatory approvals, including the approval of the Canadian Securities Exchange and notification of the Nasdaq Stock Market.
Draganfly currently intends to use the net proceeds from the Offering for general corporate purposes, including to fund its capacity to meet demand for its new products, including growth initiatives, and/or for working capital needs, including the ongoing development and commercialization of the Company’s core products, potential acquisitions, and research and development. The Offering is expected to close on or about August 21, 2024 (the “Closing Date”), subject to the satisfaction of customary closing conditions.
The Offering is being made pursuant to an effective securities registration statement on Form F-10, as amended (File No. 333-271498) previously filed with the U.S. Securities and Exchange Commission (“SEC”) and declared effective by the SEC on July 5, 2023, and the Company’s Canadian short form prospectus dated June 30, 2023 (the “Base Prospectus”). Draganfly will offer and sell the securities only in the United States. No securities will be offered or sold to Canadian purchasers.
A prospectus supplement and an accompanying base prospectus relating to the offering describing the terms will be filed with the applicable securities regulatory authorities in Canada and with the SEC in the United States and will be available free of charge by visiting the Company’s profiles on the SEDAR+ website maintained by the Canadian Securities Administrators at www.sedarplus.ca or on the SEC’s website at www.sec.gov. Copies of the prospectus supplement and accompanying base prospectus relating to the offering may be obtained from Maxim Group LLC, 300 Park Avenue, 16, when available.th Floor, New York, NY 10022, Attention: Syndicate Department, or by telephone at (212) 895-3745 or by email at [email protected].
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Draganfly
Draganfly Inc. (NASDAQ: DPRO; CSE: DPRO; FSE: 3U8A) is the developer of drone solutions, software and AI systems.
Media contact
Erika Racicot
Email: [email protected]
Company contact
Email: [email protected]
Forward-looking statements
Certain statements in this press release may constitute “forward-looking statements” or “forward-looking information” within the meaning of applicable securities laws. Such statements, which are based on management’s current expectations, inherently involve numerous important risks, uncertainties and assumptions, known and unknown. In this press release, such forward-looking statements include, among other things, statements regarding the timing of the closing of the Offering and the anticipated use of proceeds from the Offering. Completion of the Offering is subject to numerous factors, many of which are beyond Draganfly’s control, including, without limitation, the failure of the parties to satisfy certain closing conditions and other important factors previously and from time to time disclosed in Draganfly’s filings with the securities regulatory authorities in the Canadian provinces of British Columbia, Ontario and Saskatchewan and with the SEC. Actual future events may differ from the anticipated events expressed in such forward-looking statements. Draganfly believes that the expectations reflected in the forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct. The reader should not place undue reliance on the forward-looking statements contained in this news release. These forward-looking statements speak only as of the date hereof and Draganfly undertakes no obligation, and disclaims any intention, to publicly update or revise such statements as a result of new information, future events, circumstances or otherwise, except as required by applicable securities laws. Investors are cautioned not to place undue reliance on these forward-looking statements and are encouraged to read Draganfly’s offering materials as well as ongoing disclosure materials, including its most recent annual information form and audited consolidated financial statements, which are available on SEDAR+ at www.sedarplus.ca and on EDGAR at www.sec.gov/edgar.
