California Nanotechnologies Corp has announced a non-brokered private placement of up to 8,333,333 units at a price of CAD 0.15 per Unit for total gross proceeds to the company of up to CAD 1,249,999.95 on September 14, 2023. The transaction will include participation from Certain insiders and Eric Eyerman, Chief Executive Officer of the Company is also expected to participate in the Offering by purchasing 2,250,000 units at a price of CAD 0.15 per Unit for aggregate gross proceeds of CAD 333,333. Certain insiders of the Company may acquire securities under the Offering, with the expected Insider participation being at least 25% of the Offering.

The transaction is subject to an over-allotment option allowing the company to increase the units sold by an additional 1,666,667 Units for additional proceeds of CAD 250,000.05, if fully exercised. Each Unit will be comprised of one common share in the capital of the Company and one half of one Common Share purchase warrant. Each Warrant shall be exercisable to acquire one additional Common Share at an exercise price of CAD 0.25 for two years from the closing of the Offering.

The transaction is subject to the receipt of all necessary regulatory and other approvals, including the receipt of approval from the TSX Venture Exchange. The securities are expected to be immediately freely tradeable under applicable Canadian securities legislation if sold to purchasers resident in Canada, other than securities acquired by insiders which shall be subject to a hold period of four months pursuant to TSXV policies.