News !!!!!GeneNews Announces Closing of Private Placement of Convertible Debentures Google+ Share with LinkedIn /THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES./ TORONTO, Dec. 29, 2016 /CNW/ - GeneNews Limited (TSX:GEN) ("GeneNews" or the "Company") today announced that it has closed, for gross proceeds of approximately $721,000, its previously announced brokered private placement (the "Offering") of up to $3 million principal amount of convertible unsecured debentures (the "Debentures"). "While there is still interest in the debenture, we have taken the decision to truncate the Offering due to the current market conditions," said GeneNews' Chairman and CEO, James Howard-Trip. "When we initiated the Offering, the trading price of our common shares was approximately $0.50. Since then, however, it has been under considerable price pressure. We do not believe it is in the interests of either our shareholders or the Company to leave the Offering open over the holidays. We are, therefore, closing it out." Mr. Howard-Tripp continued, "From an operational perspective, we continue to execute against plan which, as we have stated, is to continue to enroll the NueHealth physicians, grow revenue, and sign additional healthcare groups to our early cancer diagnostic tests. We look forward to updating stakeholders in more detail when we announce our fourth quarter and full-year 2016 financial results." The Debentures have a term of three years and bear interest at a rate of 8% per annum, payable semi-annually in arrears, in cash. Payment of principal is payable in cash or common shares of the Company ("Common Shares") at the discretion of the Company, subject to the approval of the Toronto Stock Exchange (the "TSX"). If the Company elects to pay the principal in Common Shares, the number of Common Shares issued will be determined based on a 10% discount to the 5-day volume weighted average trading price ending on the trading day immediately preceding the date that the principal amount is due. Each Debenture will be convertible, at the option of the holder, into Common Shares at a conversion price of $0.50, beginning six months after the initial closing date. Each Debenture will be convertible, at the option of the Company, at a conversion price of $0.50, beginning twelve months after the closing date, provided the price of the Common Shares has been at or above $0.75 for 20 consecutive trading days. The net proceeds of the sale of Debentures will be used to repay current debt and payables, and to launch new products. The Agents will be paid up to 8% cash commission and broker warrants equal to up to 8% of the value of the Offering. The Offering is subject to a number of conditions precedent, including, without limitation, receipt of the approval of the TSX.