Aura Systems, Inc. (OTCBB: AUSI) announced today that it raised
$2.5 million in a private placement from one individual. $2.0 million of
the private placement was in the form of a 4-year convertible note with
warrants and 9.5% simple annual coupon. The investor has the right to
convert the outstanding Note at any time into common shares of the
Company at a conversion price of $0.50 per share. For each common share
that the Note is convertible into, the investor also received a 7-year
warrant with an exercise price of $0.75.
The additional $500,000 was the extension and conversion of a previously
funded demand Note (funded in April 2013) to a convertible note now due
in January 2014. The conversion right on this Note is set at $0.50 per
common share and the seven year attached warrants have an exercise price
of $0.75 per share. The interest on this note is 9.5% per year. The
Company is not required to file a registration statement for any part of
this financing. There were no finders associated with this placement.
For more information on Aura Systems, Inc. visit www.aurasystems.com
Copyright Business Wire 2013