Reported Earlier, Digihost Announces $4M Private Placement Comprised Of 3,636,363 Units At A Purchase Price Of $1.10 Per Unit

Author: Benzinga Newsdesk | August 06, 2024 11:21am

Digihost Technology Inc. ("Digihost" or the "Company") (TSXV:DGHI), an innovative U.S. based blockchain technology and computer infrastructure company, is pleased to announce that the Company has entered into subscription agreements with certain institutional investors for gross proceeds of up to US$4 million in a private placement of its equity securities (the "Private Placement"), comprised of 3,636,363 units of the Company ("Units") at a purchase price of US$1.10 per Unit, representing a premium of 9% to the most recent closing price of the Shares on Nasdaq. Each Unit is comprised of one subordinate voting share of the Company (a "Share") and one warrant (a "Warrant"), with each Warrant entitling the holder to purchase one additional Share. The Warrants have an exercise price of US$2.00 per Share and exercise period of three years from the issuance date.

 

The net proceeds of the Private Placement will be used by the Company primarily for acquisitions related to infrastructure expansion and for general working capital purposes. The consummation of the Private Placement is subject to the receipt of all required corporate and regulatory approvals, including the approval of the TSX Venture Exchange, and other customary closing conditions, and is expected to occur on or about August 9, 2024.

No securities were offered or sold to Canadian residents in connection with the private placement.

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