SOURCE: Axiom Corp.

November 02, 2015 08:00 ET

Axiom Corp. Completes Financing for PaperNuts Development and Expansion

ST. CATHARINES, ON--(Marketwired - Nov 2, 2015) - Axiom Corp. (OTC PINK: AXMM) ("Axiom" or the "Company") today announced it has closed agreements to secure new financing totaling $575,000.

Tyler Pearson, CEO of PaperNuts, commented, "We are extremely pleased to have secured this latest round of new growth capital to strengthen our operating position and accelerate completion of final design improvements and modifications for the next generation of PaperNuts proprietary packaging technology."

As per the terms of the Securities Purchase Agreements ("SPA") and Convertible Promissory Notes ("Notes"), the Company agreed to issue principal amount totaling $612,250 to two investors (the "Purchasers") for a total purchase price of $575,000. The Notes, which are convertible into common shares of the Company, earn interest at an annual rate equal to 10% and provide for a maturity date of October 5, 2016.

The funding schedule calls for $250,000 at the time of closing of the SPA and Notes (closed), $75,000 upon the filing of a registration statement with the Securities and Exchange Commission ("SEC"), $50,000 upon receipt of the first round of comments from the SEC regarding the registrations statement, $100,000 upon the effectiveness of the registration statement, and at the Company's option, a final $100,000 thirty (30) days after the registration statement becomes effective. Additional details regarding this financing can be found in the Company's Current Report filed on Form 8-K with the SEC.

Pearson concluded, "We look forward to launching PaperNuts sales and marketing programs in the near future and ultimately fulfilling our mission to provide the packaging industry with a sustainable and cost-effective alternative to environmentally harmful packaging solutions like polystyrene peanuts and other plastic-based protective packaging products. The commercial potential for PaperNuts products and technologies is enormous."

About Axiom Corp.

Axiom Corp., operating through its majority owned subsidiary (95.6%), PaperNuts Corporation, is a global focused developer and marketer of innovative and environmentally friendly packaging solutions. PaperNuts Corporation owns proprietary technology and intellectual property originally developed in Finland that provides an environmentally friendly alternative to traditional protective packaging options that are often very harmful to the environment. PaperNuts delivers a loose-fill packaging solution that competes directly with polystyrene foam plastic "peanut" fillers, bubble wrap, air pillows, crumpled paper, foam-in-place, and corn starch peanut products.

PaperNuts are a cost-effective green alternative to competitive fillers, made from 100% recycled paper that was destined for landfill, and are both biodegradable and fully recyclable after use. PaperNuts also provide superior product protection, are clean and easy to handle, non-polluting, and low in particulates. The "PaperNuts Converter" machine used to create PaperNuts requires only 10 sq. ft. of floor space to operate and gives small, medium, and large scale businesses the capability to produce on-demand on-site packaging that reduces the shipping and storage costs associated with competitive products.

For additional information regarding Axiom Corp. and PaperNuts Corporation, visit www.axiompaper.com.

Axiom Corp. files reports with the Securities and Exchange Commission. The Company's filings can be viewed at www.sec.gov.

Disclaimer/Safe Harbor: This Axiom Corp. / PaperNuts Corporation news release contains forward-looking statements within the meaning of the Securities Litigation Reform Act. The statements reflect the Company's current views with respect to future events that involve risks and uncertainties. Among others, these risks include failure to meet schedule or performance requirements of the Company's contracts, the Company's ability to raise sufficient development and working capital, the Company's liquidity position, the Company's ability to obtain new contracts, the emergence of competitors with greater financial resources and the impact of competitive pricing. In the light of these uncertainties, the forward-looking events referred to in this release might not occur as planned or at all.

Contact Information

  • Investor/Media Contact:

    Axiom Corp. / PaperNuts Corporation - Investor Relations
    Toll-Free: (888) 694-1999
    E-mail: Email Contact
    Website: www.axiompaper.com