Attention Business/Financial Editors:
AADCO announces private equity placement of up to $3,500,000
AADCO Automotive Inc. (AA: TSX - Venture Exchange)
BRAMPTON, ON, Sept. 20 /CNW/ - AADCO Automotive Inc. (the "Company") announces today a private equity placement of up to $3,500,000. The Company intends on issuing up to 35,000,000 Units at a price of $0.10 per Unit. Each Unit will consist of one common share and one common share purchase warrant.
Each common share purchase warrant is exercisable into one common share at any time up to December 15, 2007 at an exercise price of $0.15 per share. Fees payable in cash and in warrants will be paid in accordance with TSX Venture Exchange policies.
Proceeds will be used to for working capital purposes and to further the Company's strategic acquisition efforts. The proposed private placement is subject to completion and approval by the TSX Venture Exchange.
About AADCO
AADCO Automotive Inc. supplies recycled OEM and aftermarket automotive parts to collision repair businesses, mechanical shops, other recyclers, and consumers throughout the Greater Toronto Area. The Company is headquartered in Brampton, Ontario and is listed on the TSX Venture Exchange - AA.V.
The TSX - Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
This press release includes forward-looking statements, including statements relating to the Company's marketing strategy, future sales growth, profitability, competitive position, and release of new products. The words "plan", "expect", "believe", "intend", "anticipate", "forecast", "target", "estimate" and similar expressions identify forward-looking statements. Forward-looking statements are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward-looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. The Company does not undertake to review or update these forward-looking statements.
For further information: AADCO Automotive Inc., (905) 789-9313, Charles Hodgkinson, CEO, chodgkinson@aadco.ca; ; Harris Brown & Partners Limited, (financial advisor to AADCO), (416) 850-1564; Mr. Jeff Phipps, President, jphipps@harrisbrownpartners.ca
