OTTAWA, April 4 /CNW Telbec/ - In-Touch Survey Systems Ltd.("In-Touch"
TSX-Venture: INX) is pleased to announce that it has entered into a term sheet
for a non-brokered private placement of common shares for aggregate proceeds
of thirty six thousand one hundred dollars ($36,100.00), which is anticipated
to close no later than April 20, 2006.
Participating in the note are two insiders, Lynda Partner, Vice President
Marketing and Sales, David Sigler, Chief Technology Officer and one other
employee. They will subscribe for an aggregate of 515,714 common shares at
seven cents ($0.07) per common share. No other individuals are participating
in this placement.
The private placement is subject to regulatory compliance and approval by
the TSX.
In-Touch has also entered into a term sheet for a non-brokered private
placement with In-Touch CEO Michael Gaffney for aggregate proceeds of one
hundred thousand dollars ($100,000.00), which is anticipated to close no later
than April 20, 2006.
In exchange for the investment, Mr. Gaffney will receive a secured
convertible promissory note. The principal of the promissory note will be
convertible to common shares at ten cents ($0.10) of principal for each common
share. Interest on the promissory note will be twenty four percent (24%)
annually, payable monthly in arrears. There is no right to convert the
interest. There are no financial covenants associated with the note such that
a default could be triggered. The principal of the note must be paid by
December 31, 2006. In-Touch may pre-pay the note in advance, on 30 days
notice, without penalty or bonus.
The private placement with Mr. Gaffney is subject to regulatory
compliance and approval by the TSX.
The proceeds from both placements will be used for general working
capital purposes.
The TSX Venture Exchange has not reviewed the foregoing and has neither
approved or disapproved the contents of this press release.
%SEDAR: 00007687E
