IMAGING DYNAMICS COMPANY ANNOUNCES PRIVATE PLACEMENT
Calgary, Canada – July 2, 2013 – Imaging Dynamics Company Ltd. (“IDC” or the “Company”) (TSX:IDL), a global leader in the high growth medical imaging technology and digital radiography (DR) equipment market, today announced that it has executed a term sheet for a non-brokered private placement of 300,000,000 common shares in the capital of the Company (a “Common Share”) with Kangda International Medical Canada Company Ltd. (“Kangda Canada”) at a price of $0.0046 per Common Share for gross proceeds of $1,380,000 (the “Private Placement”). The Private Placement will coincide with a sale by Belfry Medical Holdings Ltd. of 200,000,000 Common Shares to Kangda Canada at the same price per share as the Private Placement. Belfry, a company controlled by T.T. Lee, currently holds 74% of the outstanding Common Shares and has consented to the Private Placement.
Proceeds from this Private Placement will be used for general working capital and corporate purposes. The Common Shares issued in connection with the Private Placement will be subject to a four month hold period from the date of issuance in accordance with applicable securities law. The Private Placement will also be subject to certain conditions, including the execution of a definitive private placement agreement and approvals from IDC’s shareholders and the Toronto Stock Exchange (“TSX”).
Current total outstanding Common Shares of the Company are 608,441,782. The completion of the Private Placement and the Private Transaction will result in Kangda Canada holding 55% of the outstanding Common Shares and as a result, will effect a change of control of the Company. Subsequent to the closing of the Private Placement there will be 908,441,782 outstanding Common Shares of the Company.
This Private Placement is being subscribed for by Kangda Canada. Kangda Canada is a recently formed Canadian company that is associated with Kangda Medical Equipment (Shanghai) Co., Ltd. Kangda Canada does not currently hold any Common Shares of the Company. An 11% shareholder of Kangda is a family member of Sidong Huang, the Senior Executive Vice President and a director of IDC.
The Private Placement has received unanimous approval from the Company’s board of directors.
The Company has scheduled its Annual and Special Meeting of Shareholders to be held in Calgary, Alberta on August 6, 2013 (the “Meeting”). The Management Information Circular in connection with the Meeting will be mailed to Shareholders of record on the record date for the meeting, which is June 17, 2013. Assuming the approval of the Private Placement, Mr. T.T. Lee will be retiring at the Meeting as an officer and director and upon the election of a new Board of Directors.
About Imaging Dynamics Company (IDC):
IDC is a global medical imaging technology provider and innovative force in the high growth field of digital radiography (DR) technology.
The Company has over 3,000 installations in 50 countries of its proprietary, award winning direct capture DR technology, which replaces conventional film-based diagnostic imaging and provides a cost-effective solution for medical facilities of all sizes to provide high quality diagnostic X-ray images and improve the level of healthcare for their patients.
Throughout its history, IDC has been recognized by multiple industry organizations and research analysts such as: Frost & Sullivan and Deloitte Technology; for its dedication to innovation, global market growth, and customer focused value proposition.
The Company has its corporate office in Calgary, Canada, a business office in Hong Kong, and a representative office in Beijing, China.
Visit the IDC web site: www.imagingdynamics.com.
For more information, please contact:
1.866.975.6737 Toll Free
Mr. Eugene Woychyshyn
Chief Financial Officer
1.866.975.6737 Toll Free