Call Genie Inc.
TSX : GNE

Call Genie Inc.

March 03, 2011 08:30 ET

Call Genie Announces Closing of Aggregate $5,000,000 Convertible Debenture Financing

TORONTO, ONTARIO--(Marketwire - March 3, 2011) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN.

Call Genie Inc. (TSX:GNE) today announced that it has distributed an aggregate principal amount of $5,000,000 of convertible debentures through a brokered private placement with Wolverton Securities Ltd. 

The Debenture financing provides that the principal amount of the Debentures will bear interest at a rate of 12% per annum, payable semi-annually, and that the Debentures will mature four years from the closing. At the option of the Debenture holder, principal under the Debentures will be convertible into common shares of the Company at a conversion price of $0.25 per share. The Company has granted a security interest to Debenture holders under a general security agreement covering all of the assets of the Company.

The debentures will be publically listed on the TSX simultaneous with the release of the four month hold. The debentures have not been, and will not be, registered under the United States Securities Act of 1933.

About Call Genie Inc.

Call Genie is a leading global solutions provider in mobile local search and mobile digital interactive advertising. Call Genie enables traditional industries to move to new business models that support the connection of mobile consumers and local merchants. Solutions provided include search and advertising serving technology and services that utilize advanced wireless networks as well as the mobile internet to enable a "mobile ecosystem" that encompasses advertisers, service providers (e.g., internet yellow pages, carriers, network broadcasters) and mobile users. Currently, Call Genie solutions are deployed in 14 countries around the world. www.callgenie.com.

This press release does not constitute and the subject matter hereof is not, an offer for sale or a solicitation of an offer to buy, in the United States or to any "U.S Person" (as such term is defined in Regulation S under the U.S. Securities Act of 1933, as amended (the "1933 Act")) of any equity or other securities of the Company. The securities of the Company have not been registered under the 1933 Act and may not be offered or sold in the United States (or to a U.S. Person) absent registration under the 1933 Act or an applicable exemption from the registration requirements of the 1933 Act.

The TSX Exchange has neither approved nor disapproved the contents of this news release.

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