Empire Announces First Closing of Private Placement, Increase to Private Placement and Exercise of Warrants

WINNIPEG, Manitoba, Dec. 17, 2019 (GLOBE NEWSWIRE) — With reference to its prior news release dated December 3, 2019, Empire Industries Ltd. (TSX-V: “EIL”, “Empire” or the “Company”) is pleased to announce that it has completed the first closing of the previously announced non-brokered private placement (the “Private Placement”) and issued 7,317,073 common shares (each a “Share” and together the “Shares”) in the capital of the Company at an issue price of $0.41 per share for gross proceeds to the Company of $3 million. The Shares issued in the first closing are subject to a four month and one day hold period.

Increase Private Placement to up to $9.75 Million
The Company is also pleased to announce that, subject to the approval of the TSX Venture Exchange (“TSX-V”), it is increasing the size of the Private Placement from the initial maximum of $8.5 million to $9.75 million due to investor demand. The Company expects to close on the remaining $6.75 million of investments prior to year-end.

Strategic Investor Exercises Warrants
The Company is also pleased to announce that one of its strategic investors has recently exercised an aggregate of 3.5 million common share purchase warrants at an exercise price of $0.50 per Share for gross aggregate proceeds of $1.75 million to the Company.

About Empire Industries Ltd.
Empire focuses on designing, supplying, and installing iconic media-based attractions and ride systems for the global theme park industry. Empire also uses these same turn-key integration services for special projects such as large optical telescopes and enclosures. Empire also has commenced an initiative to leverage its world class flying theater and attraction development capability on a co-venture ownership basis. Empire’s common shares are listed on the TSX Venture Exchange under the symbol EIL. Empire’s common shares are listed on the TSX Venture Exchange under the symbol EIL.

For more information about the Company, visit empind.com or contact:

Reader Advisory

This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Empire’s business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as ‘‘plans’’, “evaluating” ‘‘expects’’ or ‘‘does not expect’’, ‘‘budget’’, ‘‘scheduled’’, ‘‘estimates’’, “forecasts’’, ‘‘intends’’, ‘‘anticipates’’ or variations of such words and phrases or state that certain actions, events or results ‘‘may’’, ‘‘could’’, ‘‘would’’, ‘‘might’’ or ‘‘will be taken’’, ‘‘occur’’ or ‘‘be achieved’’. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although Empire believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Such statements include statements with respect to the closing of balance of the Private Placement. Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of Empire. The forward-looking statements contained in this news release represent Empire’s expectations as of the date hereof, and are subject to change after such date. Empire disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.