By Sheri Kasprzak
New York, Sept. 13 - Oxford Ventures, Inc. said it has received a $30 million standby equity distribution agreement as a condition of $15 million bridge note offering the company also completed.
Under the terms of the equity line, Cornell Capital Partners, LP will buy shares of Oxford over two years at 97% of the lowest daily volume weighted average price for five trading days after notice of a draw.
The advances will be made in increments of up to $1 million.
Under the terms of the bridge notes, Highgate House Funds, Ltd. and Prentice Capital Management, LP will loan Oxford up to $15 million to pay for its merger with Uluru, Inc.
The notes bear interest at 10% annually and mature in two years.
The notes are redeemable at any time before maturity at 120% of face value plus interest.
At the investor's option, the notes are convertible into common shares at $1.50 each.
The investors will also receive warrants for up to 5 million shares, exercisable at $0.01 each for 10 years.
Following completion of the merger, Uluru will be a wholly owned subsidiary of Oxford.
Based in Mesa, Ariz., Oxford buys and sells real estate.
Equity agreement
| Issuer: | Oxford Ventures, Inc.
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| Issue: | Standby equity distribution agreement
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| Amount: | $30 million
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| Tenor: | Two years
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| Price: | 97% of lowest daily volume weighted average price for the five days after notice of a draw
|
| Warrants: | No
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| Investor: | Cornell Capital Partners, LP
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| Settlement date: | Sept. 6
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| Stock price: | $0.002 at close Sept. 6
|
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| Bridge notes
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| Issuer: | Oxford Ventures, Inc.
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| Issue: | Bridge notes
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| Amount: | $15 million
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| Maturity: | Two years
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| Coupon: | 10%
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| Price: | Par
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| Yield: | 10%
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| Conversion price: | $1.50
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| Warrants: | For up to 5 million shares
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| Warrant expiration: | 10 years
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| Warrant strike price: | $0.01
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| Investors: | Highgate House Funds, Ltd. and Prentice Capital Management, LP
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| Settlement date: | Sept. 6
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| Stock price: | $0.002 at close Sept. 6
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