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NuGen Announces Revised Terms of Proposed Private Placement of up to $10 Million Secured Convertible Debentures
Toronto, Ontario--(Newsfile Corp. - August 15, 2024) - NuGen Medical Devices Inc. (TSXV: NGMD) (t...
About this update from Nugen Medical Devices Inc
[{"type":"text","content":"NuGen Announces Revised Terms of Proposed Private Placement of up to $10 Million Secured Convertible DebenturesToronto, Ontario--(Newsfile Corp. - August 15, 2024) - NuGen Medical Devices Inc. (TSXV: NGMD) (the \"Company\" or \"NuGen\") a leading developer of needle-free devices to administer therapeutics subcutaneously, announces that price protection has expired for its proposed non-brokered private placement (the \"Offering\") of up to $10,000,000 principal amount secured convertible debentures (the \"Convertible Debentures\") announced on July 10, 2024. As such, the Company has revised the terms of the Offering and adjusted the conversion price of the Convertible Debentures from $0.075 to $0.10 per Unit (as defined below). The exercise price of the warrants forming part of the Units has been revised from $0.12 to $0.10 per warrant. The Convertible Debentures shall mature on the date that is five (5) years from the closing of the Offering (the \"Maturity Date\") and shall bear interest at a rate of 12% per annum payable on the Maturity Date in arrears. The Convertible Debentures will be secured by a first ranking security interest in all of the present and after-acquired property and assets of the Company pursuant to a general security agreement which shall include standard default conditions customary for a transaction of this nature. The Company intends to use the proceeds from the Offering for working capital purposes, expansion of production and fulfillment of increasing sale purchase orders globally. At any time prior to the close of business on the last business day immediately preceding the Maturity Date, the holder shall have the right, at the holder's option, to convert all or a portion of the outstanding principal amount of the Convertible Debentures into units of the Company (the \"Units\") at a price of $0.10 per Unit. Each Unit shall be comprised of one common share in the capital of the Company (each, a \"Common Share\") and one Common Share purchase warrant exercisable at a price of $0.10 per Common Share for a period of five years from the closing of the Offering. The issuance of the Convertible Debentures pursuant to the Offering will be (and, if applicable, the issuance of the underlying Units upon conversion of the Convertible Debentures shall be) completed on a private placement and prospectus exempt basis...