VANCOUVER, BRITISH COLUMBIA–(Marketwired – May 26, 2016) –
Editor’s Note: There are two photos associated with this news release.
IBC Advanced Alloys Corp. (TSX VENTURE:IB)(OTCQB:IAALD) (“IBC” or the “Company“), a leading beryllium, advanced alloys and precision castings company, announces that it has appointed to its Board of Directors Mark A. Smith and Geoffrey (Geoff) Hampson, two highly regarded international business executives who are expected to help IBC boost production and revenue, expand its business in existing and new markets, and build long-term shareholder value.
The Board appointments follow the recent close of IBC’s oversubscribed non-brokered private placement, which raised C$7.46 million. Those funds will help the Company improve production rates and yields, decrease outsourcing, increase sales of existing lines, provide general business working capital, and bring new materials online for the next phase in its growth.
Mr. Smith is currently the Executive Chairman and Chief Executive Officer (“CEO”) of NioCorp Developments Ltd., (“NioCorp”) (TSX:NB)(OTCQX:NIOBF)(FRANKFURT:BR3) which plans to produce niobium, scandium, and titanium, strategic metals used in advanced alloys and superalloys. Mr. Smith has 36 years of experience in operating, developing, and financing mining and strategic materials projects in the Americas and abroad. He was the largest single participant in the Company’s recent private placement with an investment of $625,000, and he currently owns approximately 8% of outstanding IBC shares on an undiluted basis. More information on Mr. Smith can be seen here.
Mr. Hampson has founded and financed numerous successful private and public companies since 1978, and is a seasoned entrepreneur with 34 years of experience in special materials, technology, and mining. Currently, he serves in the following capacity: CEO of Para Resources, Inc. (TSX VENTURE:PBR); Chairman of Infracon Energy Services, Inc.; CEO and Board Chair of Fibrox Technology LP; CEO of Hampson Equities Ltd.; Chairman of the Board of LV Senior Housing LLC; Director and CFO of Environmental Resource Materials, LLC (a West Coast marine-based supplier of construction aggregates); and several others. Mr. Hampson also was a significant participant in IBC’s recent private placement. More background on Mr. Hampson can be found here.
The additions to IBC’s Board are part of a corporate restructuring that also included the promotion to President and Chief Executive Officer of Major General David (“Duncan”) Heinz (USMC) (Ret.). A member of the IBC Board since May of 2011, and the Company’s Chief Operating Officer since January of 2016, General Heinz is the Pentagon’s former program lead for the F-35 Joint Strike Fighter program. IBC is currently supplying specialized beryllium-aluminum cast alloy parts for the F-35.
Prior to joining IBC, General Heinz was Chief Operating Officer for Ocean Power Technologies, developing renewable wave energy conversion devices located in Pennington, NJ. Prior to that, he was Vice President and General Manager of Maritime Systems for iRobot, developing and building autonomous underwater robots until 2012. In 2011, General Heinz has also served as portfolio manager for Middlebury Asset Advisors, Inc. In 2012, he formed Semper Fi Investment Advisors, LLC, in affiliation with Middlebury Asset Advisors, Inc.
General Heinz has entered into a share-based compensation agreement with IBC, subject to conditional acceptance by the TSX Venture Exchange (“TSXV“). Under this agreement, General Heinz will receive the following compensation: 1) from January to July 2016, sufficient cash compensation to cover necessary payroll withholdings with the balance paid in common shares of IBC, and 2) from July 2016 to January 2017, sufficient cash to cover necessary payroll withholdings and pay $6,000 monthly, with the balance paid in common shares of IBC. The issuance of shares will be based on the closing price for IBC’s common shares on the TSXV on the last trading day of the month. Any extension of the arrangement beyond one year would be subject to the Company obtaining disinterested shareholder approval. More information on General Heinz can be seen here.
“Mark Smith and Geoff Hampson are tremendous additions to our Board of Directors and I look forward to their insight and oversight,” said General Heinz. “Their demonstrated business acumen and decades of experience in the strategic materials industry will help IBC execute on our business plan and take advantage of existing and new markets and strategic opportunities. Their significant participation in the recent private placement also demonstrates their commitment to the Company. I look forward to working with them to execute our business plan, achieve profitability in the near term, and position the Company for strong growth in current and new markets in the future. Like them, I am confident in the future of IBC and wanted to align my interests with that of our shareholders. Accordingly I have agreed to take part of my compensation in common shares.”
General Heinz added: “With our significant in-house expertise on high-performance alloys like scandium-bearing aluminum, IBC is particularly interested in the synergies that may exist with NioCorp, which plans to come on line in 2018/2019 as one of the world’s largest producers of scandium.”
As was previously announced by the Company in its April 7, 2016 press release, Alastair Neill and Dal Brynelsen have resigned from the IBC Board. The Company thanks Messrs. Brynelsen and Neill for their service to IBC. Anthony Dutton has stepped down as IBC’s CEO and has taken the position of Vice President, Special Projects.
The Company has entered into an advisory agreement with KMSMITH LLC (the “Consultant“), Mr. Smith’s consulting company. IBC will pay the Consultant USD $17,200 per month, commencing on April 1, until the agreement expires on December 31. 2016. In accordance with the Company’s stock option plan, the Consultant has been granted an option to purchase 907,000 common shares of IBC at an exercise price of $0.375 for a period of 2 years.
IBC also announces that it has engaged Jim Sims, Chief Executive Officer of Policy Communications, Inc., of Golden, Colorado, to serve as the Company’s Director of Investor and Public Relations. Mr. Sims currently serves as Vice President of External Affairs for NioCorp. Mr. Sims has more than 25 years of experience in managing investor and public relations, marketing, and public affairs for companies in the mining, chemical, manufacturing, utility, and renewable energy sectors.
At IBC, Mr. Sims will be responsible for developing and implementing the Company’s investor relations, corporate communications, and government relations operations, including disseminating corporate information, the development of corporate presentations and continued communication and engagement with journalists, brokers, analysts, and investors, and handling shareholder inquiries regarding the Company. Policy Communications will receive a monthly retainer of C$7,500 and will be reimbursed for approved expenses. The agreement, which is subject to approval by the TSX Venture Exchange, may be terminated by either party upon 30 days written notice to the other party. Mr. Sims owns 17,333 shares of IBC, as well as 17,333 IBC stock warrants.
Additionally, IBC’s News Release dated May 25, 2016 contained an error in reference to the term of the Finder’s Warrants. Paragraph 8, line 2 states, “Each Finder’s Warrant is exercisable for one post-consolidation common share of IBC at a price of C$0.375 until May 24, 2018…” It should read, “Each Finder’s Warrant is exercisable for one post-consolidation common share of IBC at a price of C$0.375 until May 24, 2021…”
On behalf of the Board of Directors,
IBC ADVANCED ALLOYS CORP.
David “Duncan” Heinz, MajGen, USMC (ret)
About IBC Advanced Alloys Corp.
IBC is a leading beryllium and copper advanced alloys company serving a variety of industries such as defense, aerospace, automotive, telecommunications, precision manufacturing, and others. IBC’s Copper Division manufactures and distributes a variety of copper alloys as castings and forgings, including beryllium copper, chrome copper, and aluminum bronze. IBC’s Engineered Materials Division makes the Beralcast® family of alloys, which can be precision cast and are used in an increasing number of defense, aerospace, and other systems, including the F-35 Joint Strike Fighter. IBC’s has production facilities in Indiana, Massachusetts, Pennsylvania, and Missouri. The Company’s common shares are traded on the TSX Venture Exchange under the symbol “IB” and the OTCQX under the symbol “IAALF”.
@IBCAdvanced $IB $IAALF #Beryllium #Beralcast
Cautionary Statements
This news release was prepared by management of IBC, which takes full responsibility for its contents. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release. Neither 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.
This disclosure contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Company’s control including: the impact of general economic conditions in the areas in which the Company operates, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, limited availability of raw materials, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with manufacturing activities therefore the Company’s future results, performance or achievements could differ materially from those expressed in these forward-looking statements. All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These statements are based on assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances.
This release does not constitute an offer to sell or a solicitation of an offer to buy of any of the Company’s securities in the United States. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities laws or pursuant to exemptions therefrom.
To view the photos associated with this news release, please visit:
Jim Sims
Director of Investor and Public Relations
+1 (303) 503-6203
[email protected]
www.ibcadvancedalloys.com
