TIMIA Capital Corp.
TSX VENTURE : TCA

TIMIA Capital Corp.

June 02, 2016 10:49 ET

TIMIA Announces Oversubscribed Closing of $1M Debenture Offering

VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 2, 2016) - TIMIA Capital Corp. ("TIMIA" or the "Company") (TSX VENTURE:TCA) is pleased to announce that it has closed its previously announced $1 Million debenture offering ("Debentures") with $1,119,300 in subscriptions.

TIMIA will use the proceeds to fund its program of Revenue Finance investments. TIMIA's Revenue Finance solution provides financing to established recurring-revenue software companies in exchange for a royalty on sales.

TIMIA has completed four Revenue Finance investments to date and expects to complete further investments in the near term.

Revenue Finance is attractive to growing companies, with less than $25M in revenue, that do not want to suffer the dilution and control issues associated with equity issuances. Revenue growth and high gross margins are key company attributes for Revenue Finance.

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 is a Revenue Finance company that provides investment capital to established recurring- revenue software companies in exchange for a royalty on revenue. This new financing option complements both debt and equity financing while allowing entrepreneurs to retain control of their own business.

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.

ON BEHALF OF THE BOARD

Michael Walkinshaw
Chief Executive Officer
TIMIA Capital Corp.
Contact: info@timiacapital.com
Phone: 604.398.8839

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's issuance of Debentures, payment of interest thereon, acceptance of the offering by the TSX Venture Exchange and the Company's use of the proceeds of the offering, including investment in RBF instruments. 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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