pcNewsWire – DataWind Inc. (TSX: DW) intends to close a non-brokered private placement of up to 500 units at $1,000 per unit for gross proceeds of up to $500,000.
Proceeds from this financing will be used primarily for general corporate purposes and for general working capital.
DataWind Announces up to $500,000 Non-Brokered Private Placement
MISSISSAUGA, ON, June 28, 2017 – DataWind Inc. (TSX: DW) (the “Company”), is pleased to announce a non-brokered private placement of up to $500,000 through the issuance of up to 500 units (“Unit”) at a price of $1,000 per Unit. Each Unit will be comprised of (i) $1,000 principal amount of secured convertible debentures of the Company (the “Convertible Debentures”), and (ii) 1,100 common share purchase warrants of the Company (“the Warrants”).
The issue price per Unit is $1,000. The Convertible Debentures shall bear interest at a rate of 12% per annum, payable semi-annually. The Convertible Debentures shall mature on the date that is three years from the date of closing of the financing (the “Maturity Date”). The Convertible Debentures will be secured senior debentures convertible into common shares of the Company at any time prior to the earlier of (i) the close of business on the Maturity Date; (ii) the business day immediately preceding the date specified by the Company or the holder for redemption of the Convertible Debentures at a conversion price of $0.38 per common share. Each Warrant will entitle the holder to acquire one common share of the Company. Each Warrant is exercisable to purchase one common share of the Company at a price of $0.56 per share for a period of 60 months from the date of closing of the financing.
All securities are subject to a four month hold period. The proceeds from this financing will be used primarily for general corporate purposes and for general working capital.
This press release does not constitute an offer of sale of any of the foregoing securities in the United States. None of the foregoing securities have been and will not be registered under the U.S. Securities Act of 1933, as amended (the “1933 Act”) or any applicable state securities laws and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons (as defined in Regulation S under the 1933 Act) or persons in the United States absent registration or an applicable exemption from such registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy nor will there be any sale of the foregoing securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
ON BEHALF OF THE BOARD
Suneet Tuli, Co-Founder, President and CEO
About DataWind DataWind, Inc. is a leader in providing affordable mobile Internet connectivity in emerging markets. The company’s patented, cloud-based technology reduces up to 97% the amount of data needed for web browsing, providing a broadband experience on any network — even on legacy 2G networks that are still prevalent in developing countries. DataWind also provides economical smartphones and tablets that come bundled with one year of unlimited internet access, making it the largest tablet provider in India. DataWind’s unique solution offers broad social and economic benefits for the billions of people around the world for whom an Internet connection was previously out of reach. DataWind is traded on the Toronto Stock Exchange (TSX: DW). For more information, visit www.datawind.com.