Cloud DX (TSX-V:CDX, OTCQB:CDXFF) has said that due to strong investor demand it has increased the size of its non-brokered private placement of secured convertible debentures from $1.8 million to up to $2.375 million.
The offering will now be for the issuance and sale of up to 2,375 convertible debentures, with each convertible debenture issued at a price of $1,000 per convertible debenture.
The corporation said it intends to use the net proceeds of the offering for inventory and general working capital purposes.
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The convertible debentures will mature on the date that is 18 months from the date of issuance and shall bear interest at a simple rate of 18% per annum, payable upon the earlier of the conversion date or the maturity date.
The principal amount of the debenture is convertible, at the election of the holders, into common shares in the capital of the corporation at a conversion price of 16 cents per common share at any time prior to the maturity date.
The debentures will be secured against all present and after-acquired personal property of the corporation, under a general security agreement.
In connection with the offering, the corporation may pay finders' fees in cash or securities or a combination of both, as permitted by the policies of the TSX Venture Exchange.
Closing of the offering is expected to occur on or about November 25, 2022. The offering is subject to final approval by the TSX Venture Exchange.
The convertible debentures and any securities issuable upon conversion will be subject to a statutory hold period of four months and one day from the date of issuance of the convertible debentures.
Accelerating digital health care, Cloud DX is on a mission to make health care 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 aging in place and deliver hospital-quality postsurgical care in the home.
Its partners achieve better health care and patient outcomes, reduce the need for hospitalization or readmission, and reduce health care delivery costs through more efficient use of resources.
Cloud DX is the co-winner of the Qualcomm Tricorder XPrize, a 2021 Edison Award winner, a Fast Company 'World Changing Idea' finalist and one of Canada's Ten Most Prominent Telehealth Providers.
Contact the author at jon.hopkins@proactiveinvestors.com