Genesis Worldwide Inc. Announces Completion of Previously Announced Brokered Private Placement of Common Shares And Warrants

    




 /NOT FOR DISSEMINATION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ 

 MISSISSAUGA, ON, Feb. 9, 2012 /CNW/ - Genesis Worldwide Inc. ("Genesis"  or the "Company"), (NEX: GWW.H), a leading provider of green and  sustainable structural building products and technology in the light  steel structural products industry, is pleased to announce that further  to its press release dated November 10, 2011, the Company has completed  a brokered private placement (the "Private Placement") through  Canaccord Genuity Corp. (the "Agent") acting as its exclusive agent on  a commercially reasonable efforts basis. Pursuant to the Private  Placement, 6,666,666 units ("Units") were issued at a price of $0.075  per Unit, raising gross proceeds of $500,000.  Each Unit consists of  one common share (a "Common Share") of the Company and one Common Share  purchase warrant (a "Warrant") of the Company.  Each Warrant entitles  the holder to acquire one Common Share at an exercise price of $0.10 at  any time on or prior to February 9, 2013.  The net proceeds from the  Private Placement will be used by the Company for working capital  purposes.  The Common Shares and Warrants comprising the Units and the  Common Shares issuable upon the exercise of the Warrants will be  subject to a hold period of four (4) months from the closing of the  Private Placement. 

 On the closing of the Private Placement, the Agent was i)  paid, as  agent, a cash commission equal to 7% of the gross proceeds from the  Private Placement; ii) issued warrants ("Agent's Warrants") to acquire  Common Shares equal to 10% of the Units sold under the Private  Placement, with each such warrant entitling the Agent to acquire one  Common Share at an exercise price of $0.10 at any time on or prior to  February 9, 2013; and iii) issued 933,333 Units as a corporate finance  fee. Each Unit consists of one Common Share of the Company and one  Warrant ("Corporate Finance Warrant").   Each Corporate Finance Warrant  entitles the holder to acquire one Common Share of the Company at an  exercise price of $0.10 at any time on or prior to February 9, 2013. 

 Following the completion of the Private Placement, there will be  15,816,758 Common Shares of the Company issued and outstanding.   Assuming the exercise in full of the Warrants, the exercise in full of  the Agent's Warrants, and the exercise in full of the Corporate Finance  Warrants, there will be 24,083,423 Common Shares issued and  outstanding. 

 "Now that we have completed our restructuring, this funding will allow  us to concentrate on our sales, marketing and revenue driving  initiatives that are a critical element of our strategic global  business plan," stated Richard Pope, CEO of Genesis. 

 About Genesis Worldwide Inc.  

 Genesis is a provider of green light steel building systems and  solutions targeted at the global commercial, residential and  institutional building sectors. Genesis delivers customized turnkey  structural solutions including innovative light steel products, and  provides software packages, industrial equipment, training programs,  professional services and support ("Genesis Solution") to its customers  and partners globally. Headquartered in the Greater Toronto Area in  Ontario, Canada, Genesis has established a network of partners with  engineering, manufacturing and distribution operations in Canada, the  United States, the Middle East, Eastern Europe, Russia and South East  Asia. For additional information about the Company, visit www.genesisworldwide.com. 

 Cautionary Note Regarding Forward-Looking Statements 

 This press release contains forward-looking statements that involve  risks and uncertainties, which may cause actual results to differ  materially from the statements made. When used in this document, the  words "may", "would", "could", "will", "intend", "plan", "anticipate",  "believe", "estimate", "expect" and similar expressions are intended to  identify forward-looking statements. Such statements reflect the  Company's current views with respect to future events and are subject  to such risks and uncertainties. Many factors could cause the Company's  actual results to differ materially from the statements made, including  those factors discussed in filings made by the Company with the  Canadian securities regulatory authorities. Should one or more of these  risks and uncertainties occur or should assumptions underlying the  forward looking statements prove incorrect, actual results may vary  materially from those described herein as intended, planned,  anticipated, or expected. The Company does not intend and does not  assume any obligation to update these forward-looking statements,  except as required by law. Shareholders are cautioned not to put undue  reliance on such forward-looking statements. 

 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. 

   

Genesis Worldwide Inc.


CONTACT:  Genesis Worldwide Inc.Richard PopePresident & Chief Executive Officer Tel: [phone]Genesis Worldwide Inc.Cathy SmythManager, Legal Administration & ComplianceTel: [phone] 


    

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