Company Remains on Track to Complete $1 Million in Financing in Q1 2014
TORONTO, ONTARIO – CardioComm Solutions, Inc. (TSX VENTURE:EKG) (“CardioComm Solutions” or the “Company”)announced today it has closed the second tranche of its previously announced private placement equity financing. Under the financing, the Company issued 2,648,000 units at a price of $0.0675 per unit, for gross proceeds of $178,740. Each unit was comprised of one common share of the Company and one common share purchase warrant exercisable for two years for an additional share at a price of $0.10. For further information regarding the financing, please see the Company’s press release that was issued on January 9, 2014. The gross proceeds from the financing will be used for general working capital of the Company. The shares and warrants issued by the Company are subject to a four month hold period which expires on May 31, 2014. The Company also confirmed that it will continue its current private placement equity financing offer.
In addition, CardioComm Solutions announced that it intends to issue 35,610 shares to Mr. Simi Grosman, a member of the Company’s board of directors, for services rendered to the Company in the months of October to December of 2013 pursuant to a services agreement dated January 11, 2013. Shares are issued at a 5% premium to the closing price of the Company’s shares at the end of each month and present a scheduled payment that will occur once per fiscal quarter. The shares will be issued at a deemed price of $0.126 per share, for a total value of $4,500. The issuances of the shares are subject to the approval of the TSX Venture Exchange.
The Company continues to inform interested investors that a potential exists where the January 9, 2014 price reservation of a share price offering with a 25 percent discount to a nine cent market price may need to be re-priced with no advanced notice. Should the Company issue a press release that causes a material change in share market price, the Company would need to re-price the private placement offering accordingly.
