Western Investment Company Announces Closing of Rights Offering

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CALGARY, Alberta, Dec. 05, 2024 (GLOBE NEWSWIRE) — The Western Investment Company of Canada Limited (TSXV: WI) (“Western” or “WICC“) today announced the closing of its previously announced rights offering (the “Assignment of Rights“) with total revenue of $6,296,946.

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The proceeds of the Rights Offering are expected to be used for: (i) the acquisition of new portfolio companies in the insurance sector; (ii) general and administrative expenses; (iii) capital expenditures, including increasing its interest in Fortress Insurance Company to 100% as previously announced; and (iv) unallocated cash to be available for future growth.

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The Company received initial subscriptions for 14,757,565 common shares of the capital stock of WICC (“Common Shares“) based on the basic subscription right, and an additional 984,800 subscriptions for Common Shares based on the additional subscription right.

“We recognize that the strike currently affecting Canada Post has impacted some investors who were interested in exercising their rights,” said Scott Tannas, Western’s President and Chief Executive Officer. “We thank those investors who participated in the Rights Offering despite the impact of the strike on the submission of proposals to our transfer agent.”

Following the completion of the rights offering, WICC has 71,144,043 common shares outstanding.

To the knowledge of WICC, after reasonable investigation, the directors, officers and insiders of WICC purchased 785,500 Common Shares under their basic subscription right and 892,000 Common Shares under the additional subscription right for a total of 1,677,500 common shares purchased under of the total rights offering, subscriptions come in at $671,000. To WICC’s knowledge, after reasonable investigation, no person became a new shareholder holding more than 10% of the Shares at the closing of the Rights Offering.

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Participation in the Offering of Rights by certain “related entities” of WICC, that is, directors, officers and 10% shareholders of the Corporation, constitutes a “related entity”, as these terms are defined by Multilateral Instrument 61-101 – Protection of
Minority Security Managers in Special Trades (“MI 61-101“). The Corporation relies on an exemption from the statutory valuation and minority approval requirements of MI 61-101 as the fair market value of participation in the Rights Offering does not exceed 25% of WICC’s market capitalization.

The Rights Offering remains subject to final acceptance by the TSX Venture Exchange.

About Western Investment Company of Canada Limited
Western is a unique publicly traded, privately held company founded by a group of successful Western Canadian entrepreneurs, and dedicated to building and maintaining ownership of successful Western Canadian companies, and helping them grow. Western shares are traded on the Exchange under the symbol WI.

For more information about Western, please visit its website at www.winv.ca.

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CONTACT INFORMATION – Western Investment Company of Canada Limited

Scott Tannas President and CEO (403) 652-0408 stannas@winv.ca

Advice
This news release may contain certain forward-looking information and statements, including without limitation, statements regarding the future results and plans of West and its affiliates, acquisition, and intended use of proceeds from the Righting Offering. Statements containing the following words: ‘believe’, ‘intend’, ‘expect’, ‘plan’, ‘want’ and ‘expect’ or 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 West’s control.

Forward-looking statements are based on important expectations and assumptions made by West, including expectations and assumptions about West’s ability to successfully implement its strategic plans and initiatives.

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Although Western believes that the expectations and assumptions on which forward-looking statements made by Western are based are reasonable, undue reliance should not be placed on forward-looking statements because no assurance can be given that they will prove to be correct. Since forward-looking statements speak of future events and conditions, by their nature they involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated due to a number of factors and risks. This includes, but is not limited to, management’s ability to execute its business strategy, and the impact of general economic conditions in Canada and the United States. A description of additional assumptions used to develop such forward-looking information and a description of the risk factors that could cause actual results to differ materially from the forward-looking information can be found in West’s disclosure documents on the SEDAR+ website at www.sedarplus.ca.

The forward-looking statements contained in this news release are made as of the latest date and West undertakes no obligation to publicly revise or update any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless otherwise stated. required by applicable securities laws.

Readers should also refer to the forward-looking statements and assumptions related to risk factors contained in West’s press release dated October 7, 2024 regarding the Rights Offering.

“Neither the TSX Venture Exchange nor its Regulatory 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.“

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