Perk Labs arranges $2.5M of private placements ! MONEY.
Perk Labs arranges $2.5M of private placements
2024-06-12 16:06 ET - News Release
Mr. Ryan Hardy reports
PERK LABS ANNOUNCES NON-BROKERED PRIVATE PLACEMENTS
Perk Labs Inc. has arranged a new non-brokered private placements of units and convertible debentures.
Private Placement of units
The company is proposing a new non-brokered private placement of up to 115,384,615 units at a price of 1.3 cents per unit for gross proceeds of up to $1.5-million. Each unit will consist of one common share of the company and one common share purchase warrant. Each warrant will entitle the holder to purchase one additional common share at a price of five cents per common share for a period of 24 months from the closing (as defined herein).
In connection with the unit private placement, the company may enter into debt settlement agreements with arm's-length creditors for the settlement of a total of up to approximately $250,000 debt in professional services provided by the creditors to the company.
Private placement of convertible debentures
The company is also proposing a non-brokered private placement of convertible debentures for gross proceeds of up to $1-million. The convertible debentures will be offered for a two-year term at an interest rate of 15 per cent and will be convertible into common shares of Perk Labs at a conversion price of five cents per share, subject to the terms and conditions set forth in the convertible debenture agreement.
The private placements of the units and the convertible debentures are expected to close on or before June 29, 2024, unless further extended. The closing is subject to customary closing conditions, including, but not limited to, the receipt of all necessary approvals. All securities issued pursuant to the private placements will be subject to a statutory hold period of four months and one day following the closing. A finder's fee may be payable in connection with the private placements. The net proceeds of the private placements will be used for sales and marketing and for working capital.
The company expects certain related parties as defined in Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions to participate in the private placement. Any such resulting related party transaction will be exempt from the formal valuation requirement and shareholder approval requirement of MI 61-101 as the fair market value of any units issued to such persons will not exceed 25 per cent of the company's market capitalization.
About Perk Labs Inc.
Perk Labs, the owner of Getit Technologies Inc. and Perk Hero Software Inc., provides innovative mobile ordering and payment systems, allowing customers the ability to scan a QR code or NFC sticker to order and pay for their purchases directly from their phone. Perk Labs specializes in providing a single unified payment interface for complex purchase environments -- environments that have multiple retailers processing an array of different transactions, including food and beverage purchases, merchandise sales, ticketing, registrations, donations, parking fees, and service payments. Perk Labs provides a custom-branded solution that is ideal for multitransaction brands such as stadiums and arenas, university and college campuses, conference centres, hotels and resorts, festivals and events, and professional service companies.
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