Manhattan Scientifics wraps $500,000 of $2.5 million convertibles sale

Company sells 8% four-year notes to investors in multiple tranches

By Devika Patel

Knoxville, Tenn., April 2 - Manhattan Scientifics, Inc. raised $500,000 in the third tranche of a $2.5 million private placement of convertible promissory notes on April 1, according to an 8-K filed Wednesday with the Securities and Exchange Commission. The deal raised $1 million on April 3, 2013 and $500,000 on Oct. 1.

The 8% note matures in four years and is convertible at $0.055 per share, which is a 10% premium to the April 2 closing share price of $0.05.

The company will sell $500,000 more of the notes on Oct. 1, 2014.

Raymond A. Mason, William B. Jones and the Ferdinand J. Crovato Trust are the investors.

The New York company operates as a technology incubator that seeks to acquire, develop and commercialize life-enhancing technologies in various fields, with emphasis in the areas of nanotechnology.

Issuer:	Manhattan Scientifics, Inc.
Issue:	Convertible promissory note
Amount:	$2.5 million
Maturity:	Four years
Coupon:	8%
Conversion price:	$0.055
Warrants:	No
Investors:	Raymond A. Mason, William B. Jones and the Ferdinand J. Crovato Trust
Settlement dates:	April 3, 2013 (for $1 million), Oct. 1, 2013 (for $500,000), April 1 (for $500,000), Oct. 1, 2014 (for $500,000)
Stock symbol:	OTCBB: MHTX
Stock price:	$0.05 at close April 2
Market capitalization:	$41.06 million

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