LED closes Apteryx acquisition and financings

LED Medical Diagnostics Inc. (TSX-V: LMD; OTCQX: LEDIF) has closed previously announced acquisition of Akron, Ohio based Apteryx, Inc. for US $10.25 million, and the financings for gross proceeds totaling approximately CDN $14.4 million.

At closing, LED paid US $6.987 million in cash and issued approximately 33.9 million common shares of LED to the seller at C$0.07, representing US $1.8 million of value. An additional US $1.2 million of the purchase price will be paid in cash in tranches over the next 18 months. The final payment of US $450,000 will be paid in common shares of LED or in cash at LED’s option, 24 months from closing.

Kevin Crucs, founder & CEO of Apteryx, will be joining the senior management team of LED and will continue to lead the Apteryx business as a significant shareholder of LED.

LED has also closed the following series of financings for gross proceeds of approximately C$14.4 million.

  • A brokered private placement of equity units for gross proceeds of approximately C$11.5 million.
  • A brokered private placement of 88 debenture units for gross proceeds of C$880,000.
  • A non-brokered private placement of equity units for gross proceeds of approximately C$1.8 million.
  • A non-brokered private placement of 27 debenture units for gross proceeds of C$270,000.

A portion of the net proceeds was used to fund the cash portion of the purchase price of Apteryx, and the remainder will be used for working capital and general corporate purposes.

Bloom Burton Securities Inc. acted as sole agent and financial advisor to LED for the acquisition of Apteryx, the brokered equity and debenture offerings.

photo credit: Apteryx


Ted Liu
Ted Liu, M.Sc. (Mining), MBA (Finance), is the Editor of Private Capital Journal, TechnologyMetals.ca, GoldSilverMetals.ca, and former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA). Ted was the architect of CVCA infobase, and is the architect of sophisticated and advanced CPE Media Private Capital Dealbase. Ted is President of CPE Media Inc., Canada's independent, trusted and unbiased data provider tracking Canadian VC/PE, private capital industry and public market.
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