Private Placement of Units for up to $11,000,000

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CALGARY, ALBERTA (May 5, 2021) – Strategem Capital Corporation (TSXV: SGE) (the “Company”) is pleased to announce a private placement of units for up to $11,000,000. Each unit will be priced at $2.29 and be comprised of a common share and a full share purchase warrant, exercisable at a price of $2.75 per warrant to acquire an additional share for a period of three years form closing. The Company’s principal shareholders, 2023378 Ontario Inc. and Skky Capital Corporation, intend to participate in the private placement to maintain their respective pro rata ownership. In addition, each of the directors and officers of the Company intend to participate in the placement. All shares and warrants issued pursuant to the placement will be subject to a statutory hold period of four months and one day from the closing.

The Company is also allowing for participation by existing shareholders under the “Existing Shareholder Exemption”, whereby all shareholders of record as at May 5, 2021 (the “Record Date”) resident in Canada who are eligible to participate under the exemption from prospectus requirements set out in applicable instruments of Canadian securities administrators (the “Existing Shareholder Exemption”) and who continue to be shareholders of the Company immediately prior to the closing of the placement.

Any person who becomes a shareholder of the Company after the Record Date is not entitled to utilize the Existing Shareholder Exemption. Shareholders interested in participating in the placement should contact the Company at the contact information below. There are no undisclosed material facts or material changes in respect of the Company.

This news release does not constitute an offer to sell or a solicitation of an offer to sell securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933 as amended.

Closing is anticipated for the middle of May, 2021. The placement and closing of the placement remains subject to the approval of the TSX Venture Exchange.

Existing shareholders wishing to participate in the placement may, prior to the intended closing date of May 14,  contact: attention: Chief Financial Officer.

For further information with respect to Strategem, please contact:

 Jo-Anne O’Connor

Chief Executive Officer of Strategem

Phone: 1-833-743-4743


Forward Looking Information

 This press release contains “forward-looking statements” within the meaning of applicable securities laws, such as statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Use of words such as “may”, “will”, “expect”, “believe”, “intends”, “likely”, or other words of similar effect may indicate a “forward-looking” statement. These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those described in the Company’s publicly filed documents (available on SEDAR at Many of these risks and uncertainties can affect the Company’s actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statement made by the Company or on its behalf. Given these risks and uncertainties, investors should not place undue reliance on forward-looking

statements as a prediction of actual results. All forward-looking statements in this press release are qualified by these cautionary statements. These statements are made as of the date of this news release and, except as required by applicable law, the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Additionally, the Company undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities. The Company does not assume any obligation to update or revise any forward-looking statements, whether written or oral, that may be made from time to time by the Company or on the Company’s behalf, except as required by applicable law.

 “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.”