TORONTO, March 13, 2020 /CNW/ -- Frankly Inc.
("Frankly" or the "Company") (TSX‑V: TLK)
(OTCQX: FRNKF) is pleased to announce that it has closed
an initial tranche of its previously announced non-brokered private
placement of units (the "Units"), at a price of
$0.67 per Unit. An aggregate of
1,070,396 Units were sold for aggregate gross proceeds to the
Company of $717,165.32.
Each Unit consisted of one common share in the capital of the
Company ("Common Share") and one-half of one Common Share
purchase warrant (each whole warrant, a "Warrant"). Each
Warrant entitles the holder to acquire one Common Share from the
Company at a price of $0.90 per
Common Share for two years from the date of issuance; provided
that, in the event that the volume-weighted average trading price
of the Common Shares on the TSX Venture Exchange exceeds
$1.35 for a period of five
consecutive trading days, the Company may accelerate the expiry of
outstanding Warrants.
In connection with the private placement, Frankly compensated an
arm's length finder by way of a cash finder's fee in the amount of
$4,020.
The private placement has been conditionally approved by, and
remains subject to final approval of, the TSX Venture Exchange. The
securities issued in the initial tranche are subject to a statutory
four month hold period expiring July 14,
2020.
As well, further to the Company's news release dated
January 7, 2020, the Company has
issued to EB Acquisition Company, LLC, as lender to the
Company in respect of the Company's previously announced revolving
term line of credit of up to US$5
million, non‑transferable common share purchase warrants to
purchase up to 1,312,200 Common Shares at an exercise price of
$0.50 per Common Share for a period
of two years from the date of issue. The warrants issued are
subject to a four month hold period expiring July 14, 2020 as well as restrictions on transfer
under applicable United States
securities laws.
The securities of Frankly have not been and will not be
registered under the United States Securities Act of 1933, as
amended (the "U.S Securities Act"), and may not be offered, sold or
resold within the United States,
or to or for the account or benefit of any U.S. person, unless the
securities are registered under the U.S. Securities Act, or an
exemption from the registration requirements of the U.S. Securities
Act is applicable. This news release shall not constitute an offer
to sell or the solicitation of an offer to buy any securities of
the Company, nor shall there be any sale of securities of the
Company, in the United States in
which such offer, solicitation or sale would be unlawful.
About Frankly Media
Frankly Media provides a complete suite of solutions that give
publishers a unified workflow for the creation, management,
publishing and monetization of digital content to any device, while
maximizing audience value and revenue.
Frankly's products include a groundbreaking online video
platform for Live, VOD and Live-to-VOD workflows, a full-featured
CMS with rich storytelling capabilities, as well as native apps for
iOS, Android, Apple TV, Fire TV and Roku.
Frankly also provides comprehensive advertising products and
services, including direct sales and programmatic ad support. With
the release of its server-side ad insertion (SSAI) platform, the
company has been positioned to help video producers take full
advantage of the growing market in addressable advertising. The
company is headquartered in New
York with offices in Atlanta. Frankly Media is publicly traded
under ticker TLK on Canada's TSX
Venture Exchange. For more information, visit
www.franklymedia.com.
Cautionary Statement on Forward-Looking Information
This news release contains forward-looking statements.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Frankly to be materially different
from any future results, performance or achievements expressed or
implied by the forward-looking statements. These forward-looking
statements include, but are not limited to, statements relating to
our expectations with respect to future closings of the private
placement. Often, but not always, forward‑looking statements can be
identified by the use of words such as "plans", "expects" or "does
not expect", "is expected", "estimates", "intends", "anticipates"
or "does not anticipate", or "believes", or variations of such
words and phrases or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved. In respect of the forward-looking statements and
information made in this news release, Frankly has provided such
statements and information in reliance on certain assumptions that
they believe are reasonable at this time, including assumptions
based on market conditions and investor interest and expectations
concerning the timing of completing subsequent tranches of the
private placement and obtaining final regulatory approval. There
can be no assurance that any of the forward-looking statements will
occur as contemplated in this news release.
Since forward-looking statements and information address future
events and conditions, by their very nature they involve inherent
risks and uncertainties. Actual results could differ materially
from those currently anticipated due to a number of factors and
risks, including but not limited to the risk that market conditions
or investor interest are insufficient to support subsequent
closings of the private placement, and the risk that required final
regulatory approvals are not obtained. Readers are cautioned
that the foregoing list of factors is not exhaustive. The
forward-looking statements contained in this news release are made
as of the date of this release and, accordingly, are subject to
change after such date. Frankly does not assume any obligation to
update or revise any forward-looking statements, whether written or
oral, that may be made from time to time by Frankly or on its
behalf, except as required by applicable law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Frankly Media
