NEX: KMC.H

ANGUILLA, British West Indies, Sept. 9, 2019 /CNW/ - Further to its press release of August 27, 2019, KMT Hansa Corp. ("KMT" or the "Company") would like to announce that it has secured bridge financing in the aggregate amount of $1 million (the "Bridge Financing") from HDD Investment Holdings Corp. ("HDD"), a non-arm's length party.

The Company will issue an aggregate of 12.1 million common shares at a price of $0.0825 per share to HDD for aggregate gross proceeds of $1 million. The terms of the Bridge Financing is identical to the terms of the proposed private placement announced in its press release of August 27, 2019.

The Bridge Financing is subject to all necessary regulatory approvals including the approval of the TSX Venture Exchange. The common shares being issued pursuant to the Bridge Financing will be subject to a four month hold period in accordance with applicable Canadian securities laws. The proceeds from the Bridge Financing will be used to pay for the expenses associated with the closing of the of the proposed acquisition of 50% of the issued and outstanding securities in the capital of QXCENTURY Ventures Ltd. ("QXCV"), an arm's length party and its acquisition of HDD's Lumuwan Forest Farm party (collectively, the "Transactions"). Shareholders are urged to refer to the Company's press release of August 27, 2019 for complete details of the Transactions.

In addition, the Company is pleased to announce that it has retained Hampton Securities Limited to act as sponsor with respect to the Transactions.

As the Transactions involve assets that are situated in China, the Company will be required to comply with the requirements of OSC Staff Notice 51-720 - Issuer Guide for Companies Operating in Emerging Markets ("51-720"). Pursuant to 51-720 the Company is required to provide additional disclosure with respect to the Company doing business in China. The additional disclosure, which will be provided in the information circular to be prepared by the Company, will focus on Corporate Governance Practices, Corporate Structures, Related Party Transactions and Risk Management and Internal Controls.

More information about KMT-Hansa Corp. can be found at www.kmthansacorp.com and the Company can be contacted by email at chan@kmthansacorp.com.

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.

SOURCE KMT-Hansa Corp.

Copyright 2019 Canada NewsWire

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