SOURCE: Mobio Technologies Inc.

Mobio Technologies Inc.

August 24, 2016 16:05 ET

Mobio Closes Oversubscribed Private Placement

VANCOUVER, BC--(Marketwired - August 24, 2016) - Mobio Technologies Inc. (TSX VENTURE: MBO) ("Mobio" or the "Company") is pleased to announce that it has closed an oversubscribed non-brokered private placement (the "Private Placement"). The Private Placement, previously announced August 4, 2016, was increased and closed for gross proceeds of $1,627,500.

The Company issued 32,550,000 units (each a "Unit") to investors at a price of $0.05 per unit, with each unit consisting of one common share and one-half of one share purchase warrant. Each whole warrant entitles the holder to acquire one additional common share at a price of $0.075 for a period of 24 months, subject to certain acceleration provisions in the event that the Company's shares have a closing price of $0.20 or higher for 10 consecutive trading days.

The Company will utilize the proceeds of the private placement for general working capital and corporate development purposes. In connection with the Private Placement, the Company paid cash finders' fees of $12,250 and issued 245,000 finders' warrants (the "Finders Warrants"). The Finders Warrants have the same exercise price and terms as the warrants forming party of the Units.

All securities issued in connection with the Private Placement are subject to a four-month-and-a-day hold period. The Private Placement remains subject to the final approval of the TSX Venture Exchange.

In connection with completion of the Private Placement, Code Consulting Limited ("Code") of Vancouver, British Columbia subscribed for and acquired 4,800,000 Units. Following completion of the private placement, Code and its joint actors have ownership of 7,358,000 common shares of the Company, representing approximately 12.65% of the Company's current issued and outstanding common shares, and 3,475,000 common share purchase warrants. Code and its joint actors would have ownership of 10,833,000 common shares of the Company, representing approximately 17.57% of the then issued and outstanding common shares of the Company, assuming exercise of only the warrants held by Code and its joint actors.

The Units were acquired by Code for investment purposes. In the future, additional securities of the Company may be acquired or disposed of, through the market, privately or otherwise, as circumstances or market conditions may warrant. For further information and to obtain a copy of the early warning report filed under applicable Canadian provincial securities legislation in connection with the acquisition by Code, please go to the Company's profile on SEDAR at www.sedar.com.

About Mobio Technologies Inc.

Mobio is a publicly traded company on the TSX Venture Exchange, headquartered in Vancouver, BC, and runs Strutta.com Media Inc. Strutta is a social promotions platform that helps marketers bring potential customers from stranger to fan to customer, and Strutta's Promotions API provides a technology platform that facilitates social media competitions and campaigns for global brands. For more information visit www.mobio.net.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS. Other than statements of historical fact, all statements included in this news release, including, without limitation, statements regarding future plans and objectives of Mobio are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those expected by Mobio are those risks described herein and from time to time, in the filings made by Mobio with Canadian securities regulators. Those filings can be found on the Internet at: http://www.sedar.com.

Neither the TSX Venture Exchange nor its Regulatory Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • For additional information contact:

    Etienne Moshevich
    Transcend Resource Group
    Investor Relations
    Tel: 604-681-0084
    ir@mobio.net