Dominion Lending Centres Inc. Announces $59.15 million Secondary Private Placement Offering of Class A Common Shares; Provides Preliminary 2024 Results
Summary
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.VANCOUVER, British Columbia, Feb. 11, 2025 (GLOBE NEWSWIRE) -- Dominion Lending Centres Inc. (TSX:DLCG) (DLCG or the Corporation), along with Mauris Family Investments Inc. (an entity controlled by Gary Mauris) and 603908 BC Ltd. (an entity controlled by Chris Kayat and family), announced today that they have entered into an agreement with Desjardins Capital Markets as sole bookrunner and lead agent (the Agent), on behalf of a syndicate of agents (together the Agents), in respect of a fully marketed offering of up to 7,782,400 class A common shares (the Offered Shares) to be completed by the Selling Shareholders (as defined below) at a price of $7.60 per Offered Share for gross proceeds to the Selling Shareholders of approximately $59.15 million (the Offering). As such, the Corporation expects to record a net loss for the year ended December 31, 2024 of between $125.8 million and $128.8 million.Final revenue, adjusted EBITDA and net loss amounts will be included in the Corporations audited annual financial statements, which the Corporation anticipates will be released on or about March 27, 2025.Forward-Looking Non-IFRS Financial Performance Measures Management presents adjusted EBITDA, a non-IFRS financial performance measure, which we use as a supplemental indicator of our operating performance. Forward-looking information in this document includes, but is not limited to: the timing and anticipated closing of the Offering; the obtaining of all necessary approvals, and the expected revenue, adjusted EBITDA and net loss for the three months and year ended December 31, 2024.Such forward-looking information is based on many estimates and assumptions, including material estimates and assumptions, related to the following factors below that, while considered reasonable by the Corporation as at the date of this press release considering managements experience and perception of current conditions and expected developments, are inherently subject to significant business, economic, and competitive uncertainties and contingencies. Such factors include, but are not limited to: The DLC Groups ability to maintain its existing number of franchisees and add additional franchisees; Changes in overall demand for Canadian real estate (via factors such as immigration); Changes in overall supply for Canadian real estate (via factors such as new housing-start levels); At what period in time the Canadian real estate market stabilizes; Changes in Canadian mortgage lending and mortgage brokerage laws and regulations; Changes in the Canadian mortgage lending marketplace; Changes in the fees paid for mortgage brokerage services in Canada; Demand for the Corporations products remaining consistent with historical demand; and Demand for the Corporations class "A" common shares and the satisfaction of the conditions to closing of the OfferingMany of these uncertainties and contingencies may affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Headquartered in British Columbia, DLC was founded in 2006 by Gary Mauris and Chris Kayat.DLCG can be found on X (Twitter), Facebook and Instagram and LinkedIn @DLCGmortgage and on the web at www.dlcg.ca.Contact information for the Corporation is as follows:NEITHER THE TSX EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.