Goldmoney closes $30M bought deal financing

Goldmoney Inc.



News Release

Goldmoney Completes $30 Million CAD Bought Deal Financing

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

TORONTO, Oct. 25, 2017 — Goldmoney Inc. (TSX:XAU) (“Goldmoney” or the “Company”), a precious metal financial service and technology company today informs it has completed its previously announced bought deal private placement (the “Offering”) with a syndicate of underwriters led by GMP Securities L.P. and including Mackie Research Capital Corporation (collectively, the “Underwriters”). Pursuant to the Offering, the Company issued 6,976,744 common shares (the “Shares”) at a price of $4.30 CAD per Share, for aggregate gross proceeds of approximately C$30 million.

The net proceeds of the Offering are expected to be used to fund further development of the blockchain custodial architecture and software infrastructure for its new BlockVault Inc. subsidiary and ColdBlocks™ product offerings.

Pursuant to the Offering, the Underwriters received a 5.0% cash commission.

The Shares issued pursuant to the Offering are subject to a four month hold period expiring on February 26, 2018.

“We welcome our newest institutional investors and thank them for their vote of confidence. With the culmination of this financing, Goldmoney now counts four of the world’s largest asset managers as shareholders,” said Goldmoney CEO Roy Sebag. “Following this raise, Goldmoney has a formidable capital position with nearly $150 million of group shareholder equity, zero debt, and $1.8 billion of fee-paying client assets under custody. We have reached this position of strategic importance in less than three years since launching BitGold as an idea, demonstrating the groups’ versatility and experience in building businesses, operating those businesses profitably, engaging capital markets, and executing accretive M&A.”

“Over the past month since our first BlockVault announcement, Goldmoney has made good progress in building the BlockVault infrastructure in Toronto and Zug, Switzerland, and engaging prospective institutional clients and partners globally. Our innovative approach to custody, security, and compliance through the unique ColdBlocks™ product offering has been very well received by both traditional financial institutions and the crypto asset community alike,” said Josh Crumb, Goldmoney CFO. “With the closing of this financing, we look forward to hitting the ground running with new investments in BlockVault personnel and software development, and will report key progress and potential partnerships as they develop over the coming months and quarters.”

About Goldmoney Inc.

Goldmoney Inc., a financial service company traded on the Toronto Stock Exchange (TSX:XAU), is a global leader in precious metal investment services and the world’s largest precious metals payment network. Safeguarding nearly $2 billion in assets for clients located in more than 150 countries, Goldmoney is focused on a singular mission to make precious metals-backed savings accessible to all. Powered by Goldmoney’s patented technology, the Goldmoney® Holding is an online account that enables clients to invest, earn, or spend gold, silver, platinum, palladium and cryptocurrencies that are securely stored in insured vaults in seven countries. All bullion assets are fully allocated and physically redeemable property. Goldmoney Wealth Limited is regulated by the Jersey Financial Services Commission (JFSC) as a Money Services Business. Goldmoney Network is a reporting entity to the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), and is registered with the Financial Crimes Enforcement Network (FinCEN) in the U.S. For more information about Goldmoney, visit goldmoney.com.

Media and Investor Relations Inquiries:
Jacquelyn Humphrey
Director of Global Communications
Goldmoney Inc.
jac@goldmoney.com

Josh Crumb
Chief Strategy Officer & CFO
Goldmoney Inc.
+1 647-499-6748

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy of this release.