NetCents Technology Inc. (“NetCents” or the “Company”) (CSE: NC) is pleased to announce the closing of its previously announced (see news release dated September 12, 2018) non-brokered private placement (the “Offering”). Due to demand, the Offering was increased from a maximum of $1,500,000 to $2,161,000.
Pursuant to the Offering, the Company issued 2,161,000 units (“Units”) at a price of $1.00 per Unit, for gross proceeds of $2,161,000. Each Unit consists of one common share of the Company (a “Share”) and one common share purchase warrant of the Company (a “Warrant”). Each Warrant entitles the holder to acquire one common share of the Company (a “Warrant Share”) at an exercise price of $1.25 for a period of 24 months from the closing date of the Offering.
In connection with the Offering, the Company paid $8,470 in finder’s fees.
The Company will be entitled to accelerate the expiry date of the Warrants to the date that is 30 days following the date a news release is issued announcing the accelerated expiry date in the event that the volume weighted average closing price of the Shares on the Canadian Securities Exchange (the “Exchange”) is greater than or equal to $1.50 for a period of 20 consecutive trading days after four months and one day from the closing of the Offering.
All securities issued in connection with the Offering are subject to a statutory hold period of four months and one day following the closing date of the Offering in accordance with applicable securities legislation, expiring on January 26, 2019. The Company intends to use the net proceeds from the Offering for general working capital.
The Company is also pleased to announce that Christopher Cherry has been appointed as the Company’s new Chief Financial Officer, effective October 1, 2018, replacing the vacancy left by Mr. Laitinen’s resignation.
Mr. Cherry is a CPA having obtained the Chartered Accountant designation in February 2009 and the Certified General Accountant designation in 2004. He has over 14 years of corporate accounting and audit experience and has acted as Director, Chief Financial Officer, and Secretary for several public companies. In his former experience as an auditor, he held positions with KPMG and Davidson and Co. LLP in Vancouver, where he gained experience as an IPO specialist and auditor for junior public companies.