Abaxx Announces Closing of Strategic Financing in Abaxx Singapore

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TORONTO, Jan. 10, 2024 (GLOBE NEWSWIRE) -- Abaxx Technologies Inc. (NEO:ABXX)(OTCQX:ABXXF) (“Abaxx Tech” or the “Company”), a financial software and market infrastructure company and majority shareholder of Abaxx Singapore Pte. Ltd. (“Abaxx Singapore”), the owner of Abaxx Commodity Exchange and Clearinghouse (individually, “Abaxx Exchange” and “Abaxx Clearing”), and producer of the SmarterMarkets Podcast, is pleased to announce that Abaxx Singapore has closed its best efforts equity private placement as previously announced on January 3, 2024 (the “Offering”) for gross proceeds of US$27,323,013. The Offering consisted of the issuance of 953,787 preferred shares (the “Preferred Shares”) to strategic partners and 4,837,392 ordinary shares (the “Ordinary Shares”) and 3,730,362 Ordinary Share purchase warrants (the “Warrants”). The investors for Preferred Shares are Abaxx’s first group of globally recognized strategic participants in the market infrastructure and commodity ecosystems (CBOE III LLC “Cboe”, TLW Trading LLC “TLW”, Traxys Lithium Investments Limited “Traxys”), while Abaxx Tech (through an indirect wholly-owned subsidiary) is the investor for the Ordinary Shares and Warrants.

“We are proud to have Cboe, TLW, and Traxys join us as strategic partners,” said Nancy Seah, CEO of Abaxx Exchange. “We appreciate their confidence in us and their support, and we look forward to working together to build smarter markets for energy transition-related commodities in Singapore. This funding supports the launch of our exchange and clearinghouse and its growth and development.”

The Preferred Shares have been offered solely to strategic partners at a price of US$4.718 per Preferred Share (the “Purchase Price”). The Preferred Shares will be convertible into Ordinary Shares of Abaxx Singapore at the holder’s option or upon the occurrence of specific events, as well as a put right that, upon the occurrence of certain events, will allow purchasers of Preferred Shares the ability to sell their Preferred Shares back to Abaxx Singapore at the Purchase Price. In addition, strategic partners will be granted some limited pre-emptive rights in connection with any future capital raising by Abaxx Singapore. The holders of the Preferred Shares will also have, subject to regulatory approval, the right to nominate one director to serve on the Abaxx Singapore board of directors.