Business
Organto Expands Options Related to Previously Announced Financing
Increases Size of Financings to CDN $2 Million VANCOUVER, BC / ACCESSWIRE / May 11, 2...
About this update from Organto Foods, Inc.
[{"type":"text","content":"Organto Expands Options Related to Previously Announced FinancingIncreases Size of Financings to CDN $2 MillionVANCOUVER, BC / ACCESSWIRE / May 11, 2020 / Organto Foods Inc. (TSXV:OGO)(OTC PINK:OGOFF) (\"Organto\" or the \"Company\"), an integrated provider of value-added fruits and vegetables today announced that as a result of investor demand and investment preferences, it is expanding options for potential investors who can now either participate in its previously announced convertible note private placement (\"Convertible Note Financing\") or in a just announced equity private placement (\"Equity Financing\"). The total size of the offerings has increased from CDN $1,500,000 to CDN $2,000,000.The terms of the original Convertible Note Financing announced on April 14, 2020 remain the same. These notes will be for a period of 2 years, carry an annual interest rate of 10% (payable annually), and will be convertible into common shares of Organto (TSX-V:OGO) at a price of CDN $0.05 per share for the first year and CDN $0.10 per share for the second year (the \"Convertible Notes\"). If at any time after four months from the date of issuance of the Convertible Notes, closing price of Organto's common shares as traded on the TSX Venture Exchange is equal to or greater than CDN $0.15 for 10 consecutive trading days or more, Organto may, in its sole discretion, accelerate conversion of the Convertible Notes. There is no pre-payment penalty. Organto may pay a finder's fees of 7% in cash and 7% in broker warrants on the total amount of Convertible Notes sold by any finder. Any common shares issued pursuant to the Convertible Note Financing will be subject to a four month hold period beginning on the date the Convertible Notes are issued. The Convertible Note Financing is subject to the acceptance of the TSX-V.A new Equity Financing option is being added and will entitle investors to purchase a unit at C$0.05 with each unit consisting of one common share in the capital of the Company and one-half common share purchase warrant. Each full warrant shall entitle the holder thereof to acquire one common share (a \"Warrant Share\") at a price per Warrant Share of C$0.10 for a period of 24 months from the date of closing. If at any time after four months from the date of closing, the closing price of Organto's common shares as traded on the TSX...