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RMS Rms Systems Inc.

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Share Name Share Symbol Market Type
Rms Systems Inc. TSXV:RMS TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0 -

RMS Systems Inc. Increases Bought Deal Financing to $7,361,000

21/04/2011 4:23pm

Marketwired Canada


NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN


RMS Systems Inc. (TSX VENTURE:RMS) ("RMS" or the "Company") is pleased to
announce that, in connection with the previously announced bought deal offering
of common shares (the "Common Shares"), the Corporation and Cormark Securities
Inc. (the "Underwriter") have agreed to increase the total size of the offering
to an aggregate of 10,825,000 Common Shares at an issue price of $0.68 per
Common Share for aggregate gross proceeds to RMS of $7,361,000 (the "Offering").


The offering is scheduled to close on or about May 12, 2011 and is subject to
certain conditions including, but not limited to, the receipt of all necessary
approvals including the approval of the TSX Venture Exchange. The Common Shares
issued pursuant to the private placement will be subject to a four month hold
period.


The net proceeds from the Offering will be used to fund the Company's capital
expenditures as well as for general working capital purposes.


The securities described herein have not been registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the United
States unless registered under the Act or unless an exemption from registration
is available.


Cautionary Statements

The information in this news release includes certain information and statements
about management's view of future events, expectations, plans and prospects,
including closing of the Offering and the use of proceeds therefrom, and receipt
of necessary regulatory and other approvals that constitute forward looking
statements. These statements are based upon assumptions that are subject to
significant risks and uncertainties. These risks include, but are not limited to
a reduction in drilling activity in the United States and/or Canada. Because of
these risks and uncertainties and as a result of a variety of factors, the
actual results, expectations, achievements or performance may differ materially
from those anticipated and indicated by these forward looking statements.
Although RMS Systems Inc. believes that the expectations reflected in
forward-looking statements are reasonable, it can give no assurances that the
expectations of any forward-looking statements will prove to be correct. The
nature of the agreements that RMS maintains with its industry partners provides
that these agreements are, for the most part, terminable without notice and
without penalty. In addition, these agreements provide that revenue is earned
only while the drilling rig is in operation. As a result, RMS's revenues are
impacted significantly by a reduction in drilling activity by its customers and
the RMS expectations may be impacted significantly in the event a customer
changes its drilling plans or otherwise terminates its relationship with RMS.
RMS revenues are also significantly impacted by weather which on occasion limits
drilling activities. RMS Systems Inc. disclaims any intention and assumes no
obligation to update or revise any forward looking statements to reflect actual
results, whether as a result of new information, future events, changes in
assumptions, changes in factors affecting such forward looking statements or
otherwise, except as required pursuant to applicable securities laws.


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