TIMIA Capital Corp.
TSX VENTURE : TCA

TIMIA Capital Corp.

January 31, 2017 15:29 ET

TIMIA Announces Closing of 8% C Round Debenture Offering

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 31, 2017) - TIMIA Capital Corp. ("TIMIA" or the "Company") (TSX VENTURE:TCA) is pleased to announce the first closing of its latest $1M 8% Debenture Offering (the "Debentures") which was announced on Nov. 29th, 2016.

TIMIA closed $904,000 in new Debentures from both internal and external investors, primarily Accredited Investors. The Company announced an earlier close of 8% Debentures with similar terms in June 2016, and the total of 8% Debentures closed during 2016 and through this latest close is $2,024,000.

TIMIA will use the proceeds of the Debenture Offering to fund its program of revenue finance investments and expects to close new investments in the near term.

TIMIA expects to continue closing further new investors on this Debenture Offering for a limited time period.

The Company is focused on investing in recurring revenue software companies and has completed four Revenue Finance investments to date. TIMIA has seen strong growth in the payments received each month from its investee companies. As disclosed in our 2016 Corporate Update, released on December 20th, 2016, monthly cash payments from our investee companies approximated $75,000, or $900,000 on an annual run-rate basis, as of November, 2016.

"The TIMIA team continues to be excited about expanding our portfolio into 2017 and increasing our monthly revenue, and continuing to pass a portion of that back to our investors in the form of interest" said Mike Walkinshaw, CEO of TIMIA.

The Debentures are unsecured, pay 8% annual interest, with monthly interest payments, and mature five years from the date of issuance with an option for early redemption by the Company after 3 years. The Debentures also have 50% warrant coverage ("the Warrants") on the common shares of the Company. The Warrants will have a 5 year term with a strike price of $0.20. The Debentures, the Warrants, and any common shares issuable upon exercise thereof, are subject to a four-month hold period in accordance with applicable securities laws. The closing of this offering is subject to the approval of the TSX Venture Exchange.

About TIMIA Capital Corp.

TIMIA Capital Corporation, is a specialty finance company that provides revenue financing to technology companies in exchange for a royalty stream on revenue. The alternative financing option complements both debt and equity financing, while allowing entrepreneurs to retain control of their business. TIMIA's target market is the fast-growing growing business-to-business software-as-a-service (SaaS) segment. TIMIA is run by a seasoned investment team with a track record of originating and managing debt and equity investments, as well as monitoring, compliance and workouts.

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

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. The Company disclaims any obligation to update the forward-looking statements except as required by law.

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