Somedia Networks Inc. (TSX-V:VID) (“SoMedia,” “the Company”), is pleased
to announce that, further to its news release dated October 30, 2013,
subject to the approval of the TSX Venture Exchange, the Company intends
to complete a brokered private placement (the "Private Placement")
through its agent, Canaccord Genuity Corp. (the "Agent") of up to 1,500
units (the "Units") of the Company on the following terms. Each Unit
will consist of one unsecured convertible debenture having a principal
amount of CDN$1,000 (the "Debenture") and 700 share purchase warrants
(the "Warrants") of the Company, for aggregate gross proceeds of up to
$1,500,000. Each Warrant is exercisable for one common share of the
Company at an exercise price of $0.75, for a period of 3 years from the
date of its issuance.
The term of the Debentures will be 5 years, and will accrue interest at
12% per annum, payable quarterly. The Debentures will be convertible
into common shares of the Company at the option of the holder anytime
prior its maturity date at a price of $0.65 per common share.
The Company will also grant the Agent an over-allotment option to raise
up to an additional $375,000, on the same terms as the Private Placement.
All of the Units issued under the Private Placement will be subject to a
hold period of four months and one day from the date of issuance. The
proceeds of the Private Placement will be used for general working
capital purposes.
ABOUT SOMEDIA NETWORKS
SoMedia Networks is a pioneer of cloud-based video content production
platforms, advanced crowdsourced workforce management, and scalable
video production services. SoMedia provides resale, white-label, and on
demand video production services across North America to web marketers,
digital agencies, corporate brands and media.
With a technology first approach and North American-wide crowd sourced
workforce, SoMedia offers a range of ground breaking video production
services and products which break down the traditional barriers of cost,
volume and reach; making it easy for partners to deliver online video
products to their clients simply and affordably, anywhere, at scale.
For more information visit: www.somedia.net.
Neither the 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.
This news release includes forward-looking statements that are subject
to risks and uncertainties. All statements within, other than
statements of historical fact, are to be considered forward looking. Although
the Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are not
guarantees of future performance and actual results or developments may
differ materially from those in forward-looking statements. Factors
that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continued availability of capital and financing,
and general economic, market or business conditions. There can be
no assurances that such statements will prove accurate and, therefore,
readers are advised to rely on their own evaluation of such
uncertainties. We do not assume any obligation to update any
forward-looking statements. This news release does not constitute an
offer to sell or a solicitation of an offer to sell any securities in
the United States. The securities have not been and will not be
registered under the United States Securities Act of 1933, as amended
(the “U.S. Securities Act”) or any state securities laws and may not be
offered or sold within the United States or to U.S. Persons unless
registered under the U.S. Securities Act and applicable state securities
laws or an exemption from such registration is available.
Copyright Business Wire 2013