Press release

Plurilock Announces Closing of $4.6 Million Bought Deal Financing Including Full Exercise of Over-Allotment Option

Vancouver, British Columbia–(Newsfile Corp. – November 10, 2021) – Plurilock Security Inc. (TSXV: PLUR) (OTCQB: PLCKF) (“Plurilock” or the “Company“), an identity-centric cybersecurity solutions provider for workforces, is pleased to announce that it has closed its previously-announced “bought-deal” public offering of common shares (the “Shares“), including the exercise in full of the over-allotment option (the “Offering“).

The Company issued a total of 9,200,000 Shares at the price of $0.50 (the “Issue Price“) per Share for total gross proceeds of $4.6 million (including the exercise in full of the over-allotment option).

The Offering was completed by a syndicate of underwriters led by Leede Jones Gable Inc., including PI Financial Corp. and Paradigm Capital Inc. (together, the “Underwriters“).

The proceeds raised from the sale of Shares under the Offering are expected to be used by the Company for general working capital, research and development, marketing and general corporate purposes.

The Company paid the Underwriters a cash commission of $263,550 and issued 527,100 underwriters’ warrants (the “Underwriters’ Warrants“). Each Underwriters’ Warrant is exercisable for one Share at the Issue Price per Share for a period of 36 months following the closing of the Offering.

The Offering was completed by way of prospectus supplement dated November 4, 2021 (the “Prospectus Supplement“) to the Company’s short form base shelf prospectus dated May 31, 2021 (the “Base Shelf Prospectus“). Copies of the Base Shelf Prospectus and the Prospectus Supplement are available on SEDAR at www.sedar.com.

Insiders of the Company purchased 80,000 Shares under the Offering, which constituted a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“). The issuance to the insiders is exempt from the formal valuation and the minority shareholder approval requirements of MI 61-101 as the fair market value of the Shares issued to or the consideration paid by such insiders did not exceed 25% of the Company’s market capitalization.

“We are pleased to announce the closing of our bought deal financing, led by strong institutional investor demand and insider participation,” said Ian L. Paterson, CEO of Plurilock. “The proceeds raised from this offering will enable us to continue executing on our vision of building an identity centric focused cybersecurity company, and comes on the heels of our recently announced Cloud Codes asset purchase. This transaction is in line with our growth through acquisition strategy where we look to scale operations globally by finding assets that are complementary to our current offering. We believe this strong show of support from institutional investors and underwriters will not only assist us in locating those assets but accelerate our growth in the coming years.”

ABOUT PLURILOCK

Plurilock provides identity-centric cybersecurity for today’s workforces. The Plurilock family of companies enables organizations to operate safely and securely while reducing cybersecurity friction. Plurilock offers world-class IT and cybersecurity solutions through its Solutions Division, paired with proprietary, AI-driven and cloud-friendly security through its Technology Division. Together, the Plurilock family of companies delivers persistent identity assurance with unmatched ease of use.

For more information about the Company, please visit www.plurilock.com.

Plurilock’s Base Shelf Prospectus, Prospectus Supplement, financial statements and management’s discussion and analysis, among other documents, are all available on the Company’s profile page on SEDAR at www.sedar.com.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

FORWARD-LOOKING STATEMENTS

This press release may contain certain forward-looking statements and forward-looking information (collectively, “forward-looking statements”) related to future events or Plurilock’s future business, operations, and financial performance and condition. Forward-looking statements normally contain words like “will”, “intend”, “anticipate”, “could”, “should”, “may”, “might”, “expect”, “estimate”, “forecast”, “plan”, “potential”, “project”, “assume”, “contemplate”, “believe”, “shall”, “scheduled”, and similar terms. Forward-looking statements are not guarantees of future performance, actions, or developments and are based on expectations, assumptions, and other factors that management currently believes are relevant, reasonable, and appropriate in the circumstances. Although management believes that the forward-looking statements herein are reasonable, actual results could be substantially different due to the risks and uncertainties associated with and inherent to Plurilock’s business. Additional material risks and uncertainties applicable to the forward-looking statements herein include, without limitation, the impact of general economic conditions, the success of the Company in obtaining new or extended contracts or orders; the Company’s ability to maintain existing customers or develop new customers; the Company’s ability to successfully integrate acquisitions of other businesses and/or companies or to realize on the anticipated benefits thereof; and unforeseen events, developments, or factors causing any of the aforesaid expectations, assumptions, and other factors ultimately being inaccurate or irrelevant. This list is not exhaustive of the factors that may affect the Company’s forward-looking statements. Many of these factors are beyond the control of Plurilock. All forward-looking statements included in this press release are expressly qualified in their entirety by these cautionary statements. The forward-looking statements contained in this press release are made as at the date hereof, and Plurilock undertakes no obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by applicable securities laws. Risks and uncertainties about the Company’s business are more fully discussed under the heading “Risk Factors” in its most recent Annual Information Form. They are otherwise disclosed in its filings with securities regulatory authorities available on SEDAR at www.sedar.com.

CONTACT INFORMATION

Plurilock Security Inc.
1021 West Hastings Street
MNP Tower, 9th Floor
Vancouver, British Columbia
V6E 0C3

Ian L. Paterson
Chief Executive Officer
ian@plurilock.com
416.800.1566

Roland Sartorius
Chief Financial Officer
roland.sartorius@plurilock.com

Prit Singh
Investor Relations
prit.singh@plurilock.com
905.510.7636