CEMATRIX Corporation Announces $3,000,000 Brokered Private Placement Co-led by Gravitas Securities and Clarus Securities

CALGARY, Alberta, April 08, 2020 (GLOBE NEWSWIRE) -- CEMATRIX Corporation (TSXV: CVX) (the "Company" or "CEMATRIX") a North American leading manufacturer and supplier of technologically advanced cellular concrete products has appointed Gravitas Securities Inc. and Clarus Securities Inc. as co-lead agents to sell, by way of private placement on a commercially reasonable best efforts basis, up to 3,000 unsecured convertible debentures (a "Convertible Debenture") of the Company at a price of $1,000 per Convertible Debenture for gross proceeds of up to $3,000,000. The co-lead agents involved within the financing are arm's length to the Company.

Each Convertible Debenture in the principal amount of $1,000 will pay 8.0% cash interest and will mature on the date that is 3 years from the issuance and can be convertible, at the election of the holder thereof, at any time prior to such date, subject to earlier conversion by the Company, into units  (the "Units") at a conversion price of $0.40 per unit, with each  Debenture Unit comprised of one common share and one-half of one common share purchase warrant. Each warrant will be exercisable into one common share for a period of 36 months from the date of issuance at an exercise price of $0.45 per common share.

The Company intends to use the net proceeds of the offering for strategic acquisition opportunities and for general working capital purposes.

Upon the closing of this offering, the Company agrees to (1) pay the agents a cash commission equal to 8.0% of the gross proceeds; (2) issue to the agents broker warrants equal to 8.0% of the principle of the Convertible Debentures sold pursuant to the offering divided by the Conversion Price. Each broker warrant will entitle the holder to acquire one Unit at an exercise price equal to the conversion price.

The offering may be completed in multiple closings and will be subject to the receipt of all necessary regulatory approvals, TSVX approval and execution of definitive agreements between the Company and the co-lead agents. All securities issued pursuant to the offering, including any underlying securities, will be subject to a four-month-and-one-day hold period in accordance with applicable Canadian securities laws. The offering is being conducted on a private placement basis under prospectus exemptions.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About CEMATRIX Corporation

CEMATRIX is a rapidly growing, cash-flow-positive company that manufactures and supplies technologically advanced cellular concrete products developed from proprietary formulations across North America. This unique cement-based material with superior thermal protection delivers cost-effective, innovative solutions to a broad range of problems facing the infrastructure, industrial (including oil and gas) and commercial markets. Through recent acquisitions of Chicago-based MixOnSite and Bellingham-based Pacific International Grout, CEMATRIX is now North America's largest cellular concrete company.

Neither 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.

For further information, please contact:

Jeff Kendrick - President and Chief Executive Officer
Phone: (403) 219-0484

Jeff Walker, The Howard Group ? Investor Relations
Phone: (888) 221-0915 or (403) 221-0915
[email protected]

Forward-looking information: This news release contains certain information that is forward looking and is subject to important risks and uncertainties (such statements are usually accompanied by words such as "anticipate", expect", "would' or other similar words). Forward looking statements in this document are intended to provide CEMATRIX security holders and potential investors with information regarding CEMATRIX and its subsidiaries' future financial and operations plans and outlook. All forward looking statements reflect CEMATRIX's beliefs and assumptions based on information available at the time the statements were made. Readers are cautioned not to place undue reliance on this forward looking information. CEMATRIX undertakes no obligation to update or revise forward looking information except as required by law. For additional information on the assumptions made and the risks and uncertainties which may cause actual results to differ from the anticipated results, refer the CEMATRIX's Management Discussion and Analysis dated November 7, 2019 under CEMATRIX's profile on SEDAR at www.sedar.com and other reports filed by CEMATRIX with Canadian securities regulators.