OTTAWA, Oct. 2, 2014 /CNW/ - Magor Corporation
("Magor" or the "Company") (TSX-V: MCC), a technology leader in
visual collaboration solutions, is pleased to announce that it has
closed the first tranche of its non-brokered private placement of
subordinated secured debentures offering, previously announced on
September 5, 2014. The Company has
raised $1,525,000 through the
issuance of 1,525 Units (the "Units").
Each Unit consists of a $1,000 par
value senior secured debenture (the "Debentures") and 500 common
share purchase warrants (each a "Warrant"). The Debentures shall
mature three (3) years from the date of issuance, unless redeemed
at 102.0%, at the option of the Company or unless converted into
common shares of Magor at the conversion rate of $0.30 per common share. The Warrants are
exercisable at a price of $0.44 for a
period of three (3) years. The Debentures shall bear interest at an
annual rate of 12% of par value, payable every six (6) months in
arrears in cash.
Finder's fees paid in connection with the Offering totaled
$26,250 in cash, plus 87,500 warrants
(the "Finder's Warrants"). Each Finder's Warrant is
exercisable at $0.40 for a period of
two (2) years from the date of closing.
Magor intends to use the gross proceeds from the Offering for
general working capital purposes.
All securities issued pursuant to the Offering (and any
underlying securities) will be subject to a statutory four (4)
month hold period, commencing as at the closing date of the
Offering.
About Magor Corporation:
Magor develops and markets visual collaboration software for a
world that increasingly rewards those who can bring together the
right people and information at the right time. Magor's Aerus
service delivery platform removes the limitations of traditional
video conferencing and collaboration tools to provide entirely new
ways of interacting with video with the goal of creating new ways
to be productive. To find out more about Magor Corporation (TSX-V:
MCC), visit our website at http://www.magorcorp.com.
Disclaimer in regards to Forward-looking
Statements
Certain statements included herein constitute "forward-looking
statements" within the meaning of applicable securities laws.
Forward-looking statements are necessarily based upon a number of
estimates and assumptions that, while considered reasonable by
management at this time, are inherently subject to significant
business, economic and competitive uncertainties and contingencies.
Investors are cautioned not to put undue reliance on forward
looking statements. Except as required by law, Magor does not
intend, and undertakes no obligation, to update any forward-looking
statements to reflect, in particular, new information or future
events.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Magor Corporation