Cloud DX (TSX-V:CDX, OTCQB:CDXFF) said it intends to complete a non-brokered private placement offering of up to 4,000 secured convertible debentures at a price of $1,000 each for gross proceeds of up to $4 million.
The company said it intends to use the proceeds of the offering for inventory and working capital purposes.
The convertible debentures will mature 36 months after the date of issuance and will bear interest at 18% per year, payable upon the earlier of the conversion date or the maturity date.
The principal amount of the convertible debenture is convertible into units of the company at any time before the maturity date at a price of C$0.10.
Each unit will be composed of one share and one warrant, with each warrant entitling the holder to purchase an additional share for $0.15 for a period of 36 months following the closing date of the offering.
Cloud DX (TSX-V:CDX, OTCQB:CDXFF) said that to demonstrate their continued support for its growth plans, company insiders have subscribed for 1,501 convertible debentures for total gross proceeds of $1,501,000.
A finder’s fee may be paid in cash, securities, or a combination of both in connection with the offering, it noted in a statement.
Cloud DX is on a mission to make healthcare better for everyone. Its Connected Health remote patient monitoring platform is used by healthcare enterprises and care teams across North America to virtually manage chronic disease, enable ageing in place, and deliver hospital-quality post-surgical care in the home.
Contact the author at emily.jarvie@proactiveinvestors.com
Follow her on Twitter @emilyjjarvie