The Western Investment Company of Canada Announces Increase to Bought Deal Financing

Calgary, Alberta (February 1, 2017)

 
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF U.S. SECURITIES LAWS.

 
The Western Investment Company of Canada Limited (“Western” or the “Corporation”) (TSX Venture: WI) is pleased to announce that, due to strong demand, it has agreed with a syndicate of underwriters co-led by GMP Securities L.P. and Acumen Capital Finance Partners Limited, to increase the size of its previously announced $7,501,000 bought deal offering. Pursuant to the upsized deal terms, the Underwriters have agreed to purchase, on a bought deal basis, 16,615,000 common shares (the “Common Shares”) of the Corporation at a price of $0.65 per Common Share (the “Offering Price”) for aggregate gross proceeds to Western of $10,799,750 (the “Offering”). It is expected that certain insiders, directors and officers of the Corporation will subscribe for approximately 15% of the Offering at a price of $0.65 per Common Share.

 
Western has also granted the Underwriters an option (the “Over-Allotment Option”) to purchase up to an additional 2,492,250 Common Shares at the Offering Price, for additional gross proceeds of up to $1,619,963. The Over-Allotment Option shall be issued on the same terms and conditions as the Offering, exercisable at any time, in whole or in part for a period of 30 days following closing of the Offering, to cover over allotments and for market stabilization purposes.

 
The net proceeds of the Offering will be used primarily for future acquisitions of businesses and for working capital and general corporate purposes.

 
The Corporation will, by February 6, 2017, file with the securities commissions and other similar regulatory authorities in each of the provinces in Canada, excluding Quebec, a preliminary short form prospectus relating to the issuance of the Common Shares. Closing is expected to occur on or about February 21, 2017 and is subject to certain conditions including, but not limited to, all necessary regulatory approvals, including the approval of the TSX Venture Exchange.

 
About Western (www.winv.ca)

 
Western’s strategy is to create a diversified portfolio of established Western Canadian businesses and create value through the identification and long-term ownership of companies with sustained cash flows and strong potential for organic growth.

 
The common shares of Western are traded on the TSX Venture Exchange under the symbol “WI”.

 
CONTACT INFORMATION
The Western Investment Company of Canada Limited
Scott Tannas
President and Chief Executive Officer
(403) 652-2663
stannas@winv.ca

Warning
The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This news release does not constitute an offer to sell or the solicitation of any offer to buy nor will there be any sale of these securities in any province, state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such province, state or jurisdiction.

 
Forward-Looking Information
This news release may contain certain forward-looking information and statements, including without limitation, statements pertaining to Western’s ability to obtain the necessary approvals, including regulatory approvals, the anticipated use of proceeds of the Offering, the completion of the Offering and the timing thereof. Statements containing the words: ‘believes’, ‘intends’, ‘expects’, ‘plans’, ‘seeks’ and ‘anticipates’ and any other words of similar meaning are forward-looking. All statements included herein involve various risks and uncertainties because they relate to future events and circumstances beyond Western’s control. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in Western’s disclosure documents on the SEDAR website at www.sedar.com. Any forward-looking statements are made as of the date of this news release and Western does not undertake to update any forward-looking information except in accordance with applicable securities laws.

 
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.