Toronto, Ontario--(Newsfile Corp. - August 30, 2019) - The Hash Corporation (formerly, Senternet Phi Gamma Inc.) ("HashCo" or the "Company") is pleased to announce that it has completed a non-brokered private placement financing (the "Financing") as previously announced on July 5, 2019, and increased the Financing from $1,500,000 to $2,166,514.64. Pursuant to the Financing, the Company issued 108,325,732 common shares of the Company at a price of $0.02 per Share.
All securities issued in connection with the Financing are subject to a four-month hold period from the date of issuance in accordance with applicable securities laws. A portion of the Financing constitutes a "related party transaction" under Multilateral Instrument 61-101 ("MI 61-101") as officers and directors of the Company participated in the Financing. The Financing is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101, as neither the fair market value of securities being issued to insiders nor the consideration being paid by insiders will exceed 25% of the Company's market capitalization. The Company did not file a material change report 21 days prior to the closing of the Financing as the details of the participation of the related parties of the Company had not been confirmed at that time.
First Republic Capital Corporation ("First Republic") acted as the lead finder for the Financing. A cash fee was paid to finders representing 6% of the gross proceeds raised in the Financing. Additionally, finders received that number of compensation warrants ("Compensation Warrants") totaling 6% of the number of Shares sold pursuant to the Financing. The Compensation Warrants are exercisable at a price of $0.02 per share for a period of 24 months after the closing of the Financing. First Republic was paid a corporate finance fee representing 4% of the gross proceeds raised in the Financing and that number of Compensation Warrants equaling 4% of the number of shares sold in the Financing.
In addition, the Company is pleased to announce that, effective immediately, it has appointed Michael Syme as Vice-President of Production and Shimmy Posen as Corporate Secretary. Yaron Conforti has resigned as Secretary effective immediately, but will remain on the board of directors.
For additional information on The Hash Corporation:
Chris Savoie, CEO
Phone: (416) 371-3697
Certain statements in this press release may constitute "forward looking statements" which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward looking statements. When used in this press release, such statements may use such words as "may'', "will'', "expect'', "believe'', "plan'' and other similar terminology. Such statements reflect management's current expectations regarding future events and speak only as of the date of this press release. The forward-looking statements involve a number of risks and uncertainties. These risks and uncertainties include, but are not limited to, the Company's stage of development, capital requirements and future ability to fund operations, regulatory requirements, general economic, and market or business conditions. The foregoing list of factors is not exhaustive. The Company undertakes no obligation to update publicly or revise any forward-looking statements, whether a result of new information, future results or otherwise, except as required by law.
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