Montreal, Quebec--(Newsfile Corp. - February 9, 2021) - Mobi724 Global Solutions Inc. (TSXV: MOS) ("Mobi724" or the "Company"), a fintech enabler of AI-enhanced payment card-linked incentives, announces that it has successfully completed a second and final tranche of an offering ("Offering") previously announced on January 27, 2021 for aggregate proceeds of $130,500. The completion of this second tranche will bring to total aggregate proceeds raised to $1,280,500.
The closing of the second tranche of the Offering consisted of the sale of 2,610,000 units (each, a "Unit") of the Company at a price of $0.05 per Unit. Each Unit is comprised of one common share of the Company (a "Common Share") and a three-quarters Common Share purchase warrant of the Company (a "Warrant"). Each Warrant entitles the holder thereof to purchase one Common Share (each a "Warrant Share") for a period of 3 years after the closing date at a price of $0.06 per Warrant Share subject to a warrant exercise acceleration providing that if the volume weighted price of the Common Shares is equal to or greater than $0.20 for a period of 20 consecutive trading days then the Company may anytime thereafter accelerate the expiry date of the Warrants to the date that is 30 days following the date on which the Company issues notice to all the Warrant holders of the new expiry date (and the Company will also issue a press release on the same date as it issues notice confirming the new expiry date of the Warrants).
The Offering was sold pursuant to exemptions from prospectus requirements. The proceeds from the sale of Units will be added to working capital in furtherance of the Company's business. The securities issued pursuant to the Offering are subject to a statutory hold period of four months and one day and completion of the Offering remains conditional to the final approval of the TSX Venture Exchange (the "Exchange").
860,000 Units were acquired by an insider which purchase is considered to be a "related party transaction" under Multilateral Instrument 61-101 and is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 (pursuant to subsections 5.5(a) and 5.7(a)) as neither the fair market value of the common shares distributed to, nor the consideration received from, interested parties exceeded 25% of the Company's market capitalization.
Conversion of Debt to Equity:
The Company also issued 900,000 Units (900,000 Common Shares and 675,000 Warrants) in order to satisfy a debt in the amount $45,000 related to unpaid fees owing to certain consultants (which had been press released on January 28th, 2021) upon the same terms and conditions of the aforementioned Offering. The issuance of 900,000 Units is subject to the approval of the Exchange.
About Mobi724 Global Solutions Inc.
Every Transaction is An Opportunity
Mobi724 Global Solutions Inc. (TSXV: MOS) is a fintech company that enables banks and merchants to offer their customers real-time payment card-linked incentives, in a white-label format. Mobi724's objective is to add a layer of AI-driven actionable intelligence to every payment transaction, creating engaging consumer experiences & generating incremental commercial opportunities to its clients.
Legal Disclaimer
Mobi724 cautions investors that any forward-looking statements or projections made by Mobi724 are subject to risks and uncertainties, that may cause actual results to differ materially from those projected. Such factors include, but are not limited to, those described under Item 'Risk Factors and Uncertainties' in the Company's Management Discussion and Analysis, available on SEDAR.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release does not constitute a solicitation to buy or sell any securities in the United States.
Investor Relations:
For further information, please visit www.MOBI724.com or contact:
Allan Rosenhek, CFO
Mobi724 Global Solutions Inc.
T: 514-394-5200 ir@mobi724.com
Eli Rozhansky, Investor Relations Coordinator
Mobi724 Global Solutions Inc.
T: 514-394-5200 ir@mobi724.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/74031
