MONTREAL, QUEBEC -- (Marketwired) -- 06/04/13 -- SENSIO Technologies Inc. ("SENSIO" or "the Company") (TSX VENTURE: SIO), announced today that it has entered into an agreement with Global Maxfin Capital Inc., as exclusive agent (the "Agent"), for a brokered private placement of up to C$2 million aggregate principal amount of unsecured convertible debentures on a commercially reasonable efforts basis (the "Offering").
In addition, the Agent has been granted an over-allotment option to increase the size of the Offering by $300,000, which option may be exercised at any time within 30 days of the closing of the Offering.
The debentures will be offered at par at a price of $1,000 per debenture, will mature three years from the date of their issuance and will bear interest at a rate of 12%, payable semi-annually in arrears and compounded annually. The Company shall have, subject to regulatory approvals, the option of paying the interest in either cash or common shares of SENSIO ("Common Shares").
The debentures will be convertible at the holder's option into Common Shares at a conversion price of $0.28 per Common Share being a ratio of 3,571 Common Shares per $1,000 principal amount of debentures. The Company will have the right to force conversion of the debentures if the Common Shares trade at or above 150% of such conversion price for 20 consecutive trading days before the maturity date.
Closing of the Offering is anticipated to occur on or before June 25, 2013 and is subject to receipt of applicable regulatory approvals including approval of the TSX Venture Exchange. Securities issued will be subject to a hold period, which will expire four months plus one day from the date of closing.
The Company will have, the option of calling the debentures during the third year of the term subject to a 3% penalty of the outstanding principal amount of debentures, and, subject to regulatory approvals, shall have the option to repay the debentures in common shares.
In connection with the Offering, the Agent shall receive cash compensation equalling 6.0% of the gross proceeds raised under the Offering, as well as compensation warrants entitling the Agent to subscribe for that number of Common Shares that is equal to 6.0% of the principal amount of the convertible debentures issued divided by 0.28, at a price of $0.28 per share.
The net proceeds of the Offering will be used by the Company for general working capital purposes and for further business development, namely for the expansion of 3DGO! to more devices, porting to new platforms and further content acquisition.
For further information on SENSIO and its technologies, please visit www.sensio.tv
About SENSIO Technologies Inc. (SENSIO):
SENSIO Technologies Inc. (www.sensio.tv) has been leading the floor in bringing 3D video to the consumer since 1999. Its vision, expertise and state-of-the-art solutions, based on diversified stereoscopic image-processing technologies, have been trusted by some of the biggest names in the media and entertainment industries to power numerous industry firsts, initiate new business models and generate immediate revenue with a distinctive 3D offering.
SENSIO enables its clients to deliver the best possible 3D experience for the end-user through a broad portfolio of products, including its flagship, award-winning technology, SENSIO® Hi-Fi 3D. Through SENSIO solutions, consumers can access - with effortless interaction and complete peace of mind - 3D content of superior quality to common frame-compatible formats distributed over existing infrastructure (cable, satellite or over IP) and displayed using any existing digital equipment (cinema, home cinema, TV, game consoles or PC). SENSIO is listed on the Toronto TSX Venture Exchange.
SENSIO® is a registered trademark of SENSIO Technologies Inc.
Caution Concerning Forward-Looking Statements
Certain statements made in this press release that are not historical facts are forward-looking statements and are subject to important risks, uncertainties and assumptions. A number of factors beyond the control of SENSIO could cause the aforementioned private placement to be delayed or cancelled, including general market conditions, failure to locate subscribers willing to participate or failure to obtain the necessary regulatory approvals . The results or events predicted in these forward-looking statements may differ materially from actual results or events. As a result, readers are cautioned not to place undue reliance on these forward looking statements. For more exhaustive information on these risks and uncertainties, the reader should refer to the risk factors described in the management's discussion and analysis of SENSIO for the quarter ended February 28, 2013. The forward-looking statements contained in this press release represent our expectations as of the date hereof. We disclaim any intention and assume no obligation to update or revise any forward-looking statements.
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.
Chief Financial Officer
+1 514-846-2022 ext. 17
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