By Devika Patel
Knoxville, Tenn., Sept. 14 - Lorex Technology Inc. said it has completed a C$1.25 million tranche of a C$2.5 million private placement of subordinated series A convertible debentures and subscription receipts. The deal priced June 24 for between C$1.6 million and C$2 million in debentures and was lifted to its current size on Aug. 24.
The company sold 12.5 million subscription receipts at C$0.10 each for C$1.25 million. The receipts are convertible, at no additional cost, into 12.5 million preference shares, which will be convertible into common shares on a one-for-one basis.
Lorex also plans to sell C$1.25 million in three-year debentures, which will be convertible at C$0.10 per common share. They will not pay interest.
Proceeds will be used for general working capital. By raising the funds, the company will also secure a loan extension through May 2012.
Lorex is a Markham, Ont.-based company that provides businesses and consumers with video surveillance security solutions and sells its products through two market channels.
Issuer: | Lorex Technology Inc.
|
Issue: | Subordinated series A convertible debentures, subscription receipts
|
Amount: | C$2.5 million
|
Warrants: | No
|
Pricing date: | June 24
|
Upsized: | Aug. 24
|
Stock symbol: | Toronto: LOX
|
Stock price: | C$0.09 at close June 23
|
Market capitalization: | C$1.62 million
|
|
Debentures
|
Amount: | C$1.25 million
|
Maturity: | Three years
|
Coupon: | 0%
|
Price: | Par
|
Yield: | 0%
|
Conversion price: | C$0.10
|
|
Receipts
|
Amount: | C$1.25 million
|
Receipts: | 12.5 million
|
Price: | C$0.10
|
Settlement date: | Sept. 14
|
© 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.