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D-BOX is pleased to announce the closing of its previously-announced marketed public offering (the “Offering”) pursuant to which D-BOX issued 44,275,000 units (the “Units”) at a price of $0.13 per Unit (the “Offering Price”) for aggregate gross proceeds to D‑BOX of $5,755,750, including the full exercise of the over-allotment option to purchase an additional 5,775,000 Units at the Offering Price. Each Unit is comprised of one Class A common share of D-BOX and one Class A common share purchase warrant (a “Warrant”). Each Warrant entitles the holder thereof to purchase one Class A common share of D-BOX at an exercise price of $0.16 at any time until March 4, 2023.

The Offering was led by Canaccord Genuity Corp., as the lead underwriter and sole bookrunner, on behalf of a syndicate of underwriters, including Echelon Wealth Partners Inc. and iA Private Wealth Inc. (collectively, the “Underwriters”).

The Units were offered by way of a short form prospectus dated February 25, 2021 (the “Prospectus”) filed in each of the provinces of Canada. D-BOX intends to use the net proceeds from the Offering for growth initiatives for the home entertainment market, to provide additional working capital and for general corporate purposes, as further described in the Prospectus.

In connection with the Offering, the Underwriters received an aggregate cash commission equal to 6% of the gross proceeds of the Offering (including in respect of any Units issued pursuant to the exercise of the over-allotment option), other than the gross proceeds from the president’s list purchasers, for which a cash commission equal to 3% was paid. The Underwriters also received, as additional compensation, compensation warrants to purchase up to 2,572,441 Class A shares of D-BOX at a price of $0.15 per share at any time until March 4, 2023.

The securities described herein have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements. 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 the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT D-BOX

D-BOX creates and redefines realistic, immersive entertainment experiences by moving the body and sparking the imagination through motion. D-BOX has collaborated with some of the best companies in the world to deliver new ways to enhance great stories. Whether it’s movies, video games, virtual reality applications, themed entertainment or professional simulation, D-BOX creates a feeling of presence that makes life resonate like never before.

D-BOX Technologies Inc. (TSX: DBO) is headquartered in Montreal with offices in Los Angeles, USA and Beijing, China. D-BOX.com

NOTICE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements and forward-looking information, or, collectively, forward-looking statements, within the meaning of applicable securities laws, that are based on the management of D-BOX beliefs and assumptions and on information currently available to the management of D-BOX. You can identify forward-looking statements by terms such as “may”, “will”, “should”, “could”, “would”, “outlook”, “believe”, “plan”, “envisage”, “anticipate”, “expect” and “estimate”, or the negatives of these terms, or variations of them. The forward-looking statements contained in this press release include, but are not limited to, statements regarding the statements regarding the use of net proceeds from the Offering.

Forward-looking statements are based upon a number of assumptions and include, but are not limited to, the following: the proceeds from the Offering will be allocated for the activities set forth herein and that D-BOX will have enough funds to carry out its business plan.

Forward-looking statements are subject to a variety of risks and uncertainties, many of which are beyond D-BOX’ control, that could cause its actual results to differ materially from those that are disclosed in or implied by the forward-looking statements contained in this press release. These risks and uncertainties include, among others, a resurgence in the Covid-19 pandemic adversely affecting D‑BOX’ activities and those of its clients, suppliers and third-party service providers.

We refer potential investors to the “Risk Factors” section of the annual information form of D-BOX dated July 3, 2020 and the Prospectus, which are available under D-BOX’ profile on SEDAR at www.sedar.com, for additional risks regarding the conduct of D-BOX’ business and D-BOX. The reader is cautioned to consider these and other risks and uncertainties carefully and not to put undue reliance on forward-looking statements.

Forward-looking statements reflect D-BOX’ current expectations regarding future events and speak only as of the date of this press release and D-BOX does not undertake any obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances or otherwise, except as may be required by applicable law.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Steve Li
Vice President Investor Relations and Corporate Strategy – D-BOX Technologies Inc.
450-442-3003, ext. 403
sli@d-box.com