Inc. Announces Closing of First Tranche of Non-Brokered Private Placement of Convertible Note Units
Summary
TORONTO, May 04, 2023 (GLOBE NEWSWIRE) -- Clip Money Inc. (TSX-V: CLIP) (OTCQB: CLPMF) (Clip Money or the Company), a company that operates a multi-bank self-service deposit system for businesses, is pleased to announce that it has closed the first tranche of a non-brokered private placement of approximately 483 note units of the Company (each a Note Unit) at a price of CAD$1,000 per Note Unit for gross proceeds of approximately CAD$483,000 (the Private Placement). On the Maturity Date, payment of the principal amount of each Note plus accrued and unpaid interest thereon will be satisfied in cash. The Notes will bear interest at the rate of 12% per annum, accruing monthly and payable quarterly in-kind on the Maturity Date. If the acceleration right is exercised by the Company, the Warrants will expire on the 30th day after the Company issues a press release announcing that it has exercised such acceleration right.All securities issued in connection with the Private Placement are subject to a four-month and one day hold period in Canada, during which time the securities may not be traded.The Company plans to use the net proceeds from the Private Placement for network expansion and customer acquisition, new unit capital expenditures, business operations and technology and for general corporate purposes. Combined with mobile user applications, Clip Money offers a cost-effective and convenient solution for business banking deposits in metropolitan statistical areas across Canada and the United States.