VANCOUVER, BC--(Marketwired - July 28, 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 July 22, 2016, was increased and closed for gross proceeds of $440,000.
The Company issued 12,571,429 units to investors at a price of $0.035 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 to pay salaries, office rent, regulatory fees, audit fees and other operating costs. The Company anticipates that approximately $260,000 will be expended on the Company's current business operations, $110,000 on regulatory, filing, legal, and audit fees, and the balance available for immediate accounts payable.
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, MSE Management Inc. ("MSE") of Whistler, British Columbia subscribed for and acquired 2,173,502 Units. Following completion of the private placement, MSE and its joint actors have ownership of 3,278,971 common shares of the Company, representing approximately 12.8% of the Company's current issued and outstanding common shares, 1,086,751 common share purchase warrants and 270,000 incentive common share purchase options. MSE and its joint actors would have ownership of 4,635,722 common shares of the Company, representing approximately 17.2% of the then issued and outstanding common shares of the Company, assuming exercise of only the warrants and options held by MSE and its joint actors.
The Units were acquired by MSE 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 MSE, please go to the Company's profile on SEDAR at www.sedar.com, or contact Michael Edwards at email@example.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.