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Nugen Medical Devices Announces Closing of Private Placement of Units and Convertible Debentures
TORONTO, ON / ACCESSWIRE / September 8, 2022 / NuGen Medical Devices Inc. (TSXV:NGMD) (the "...
About this update from Nugen Medical Devices Inc
[{"type":"text","content":"Nugen Medical Devices Announces Closing of Private Placement of Units and Convertible DebenturesTORONTO, ON / ACCESSWIRE / September 8, 2022 / NuGen Medical Devices Inc. (TSXV:NGMD) (the \"Company\") is pleased to announce, further to its press releases of July 22, 2022 and August 10, 2022, it has closed the second tranche of its previously announced non-brokered private placement (the \"Unit Offering\") through the issuance of 2,285,763 units (each, a \"Unit\") at a price of $0.10 per Unit for gross proceeds of $228,576.30. Each Unit is comprised of one common share (each, a \"Common Share\") in the capital of the Company and one Common Share purchase warrant (each, a \"Warrant\"). Each Warrant entitles the holder thereof to acquire one Common Share at a price of $0.30 per Common Share for a period of two (2) years from the closing of the Unit Offering. The aggregate gross proceeds raised pursuant to the Unit Offering was $640,376.30 through the issuance of an aggregate of 6,403,763 Units. The proceeds from the Unit Offering will be used by the Company for corporate and general working capital purposes.In connection with the closing of the second tranche of the Unit Offering, the Company paid certain eligible persons (the \"Finders\") a cash commission of $600.00 and issued 6,000 broker warrants (each, a \"Broker Warrant\"). Each Broker Warrant entitles the holder thereof to acquire one Common Share at an exercise price of $0.30 per Common Share for a period of two (2) years from the closing of the Unit Offering.All securities issued in connection with the Unit Offering will be subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. The Unit Offering remains subject to the final approval of the TSX Venture Exchange (the \"TSXV\").The Unit Offering constituted a \"related party transaction\" as defined in Multilateral Instrument 61-101 - Protection of Minority Securityholders in Special Transactions (\"MI 61-101\"), as insiders of the Company acquired an aggregate of 400,000 Units. The Company is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(1)(a) of MI 61-101, as the Company is not listed on a specified market and the fair market value of the participatio...