AllDigital settles $250,000 placement of 5% convertibles in tranches

Senior secured notes sold to investors Morris Cottle and Philip Kaplan

By Devika Patel

Knoxville, Tenn., May 6 – AllDigital Holdings, Inc. completed a $150,000 private placement of 5% senior secured convertible notes with Philip N. Kaplan on April 23, according to an 8-K filed Wednesday with the Securities and Exchange Commission. It sold $100,000 of the convertibles to Morris Cottle on April 30.

The notes are due on Dec. 31, 2016 and are convertible into 1,666,667 common shares at $0.15 per share, which is an 87.5% premium to the April 22 closing share price of $0.08.

Proceeds will be used for general corporate purposes.

The Irvine, Calif., company provides software tools and back-end services for providers of digital services.

Issuer:	AllDigital Holdings, Inc.
Issue:	Senior secured convertible notes
Amount:	$250,000
Maturity:	Dec. 31, 2016
Coupon:	5%
Conversion price:	$0.15
Conversion ratio:	Into 1,666,667 common shares
Conversion premium:	87.5%
Warrants:	No
Investor:	Philip N. Kaplan (for $150,000), Morris Cottle (for $100,000)
Settlement date:	April 23 (for $150,000), April 30 (for $100,000)
Stock symbol:	OTCBB: ADGL
Stock price:	$0.08 at close April 22
Market capitalization:	$2.68 million

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.