By Sheri Kasprzak
New York, Sept. 26 - Omnitech Consultant Group Inc. said it has raised C$1.5 million from a private placement of convertible debentures.
Sipar Inc. bought C$1.35 million of the debentures, which bear interest at 14% annually and mature on Sept. 21, 2008.
The debentures are convertible into units at C$0.70 each through Sept. 21, 2007 and at C$0.77 each between Sept. 22, 2007 and Sept. 21, 2008.
The units include one share and one warrant. The warrants are exercisable at the then-current conversion price for two years.
The company also closed a C$1.9 million term loan and a C$2.2 million credit facility through Laurentian Bank.
The proceeds from the offerings will be used to complete an acquisition. The rest will be used for working capital.
Based in Quebec City, Omnitech is a technology consulting company focused on the engineering, information technology and systems maintenance fields.
| Issuer: | Omnitech Consultant Group Inc.
|
| Issue: | Convertible debentures, convertible into units of one share and one warrant
|
| Amount: | C$1.5 million
|
| Maturity: | Sept. 21, 2008
|
| Coupon: | 14%
|
| Price: | Par
|
| Yield: | 14%
|
| Conversion price: | C$0.70 through Sept. 21, 2007; C$0.77 from Sept. 22, 2007 through maturity
|
| Warrants: | One warrant per unit upon conversion
|
| Warrant expiration: | Two years
|
| Warrant strike price: | Then-current conversion price
|
| Settlement date: | Sept. 26
|
| Stock price: | C$0.78 at close Sept. 26
|
|
|
© 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.
