Mobile marketing firm Snipp Interactive (CVE:SPN) Tuesday has reported a non-brokered financing worth $1.1 million.
unit will consist of one unsecured convertible debenture with a par
value of $1,000 and 5,000 warrants. The minimum subscription amount is
The warrants are exercisable into common shares priced
at 20 cents each. It also said the warrants expiry can be expedited if
the trading price is greater than 50 cents for 20 consecutive trading
All securities issued are subject to a four month hold
period. The debentures mature five years from closing, and bear an
annual interest rate of 15 per cent.
Snipp will also pay a cash finders’ fee amounting to 10 per cent of the gross proceeds.
Profits from the offering will go toward general working capital
purposes, including asset acquisition investigations. Closing of the
offering remains subject to stock exchange approval.
the mobile marketing company also announced last Friday its chairman and
founder Atul Sabharwal will replace Erik Hallstrom as chief executive.
Hallstrom, who will continue with Snipp in an advisory role,
stepped down to pursue another opportunity. Meanwhile, director Ritesh
Bhavnani will take over as chairman of the board.
Shares, in late morning trade Tuesday, fell 14.29 per cent falling to 18 cents each on the TSX Venture Exchange.