Intelicare Holdings (ASX:ICR) secured AU$1 million in additional funding through a structured financing approach with the support of key existing shareholders, according to a Wednesday Australian bourse filing.
The structured financing was completed in two parts, with the establishment of a AU$600,000 convertible note facility as well as the completion of a AU$400,000 research and development loan with Rockford Equity.
The firm can draw funds under the convertible note facility in tranches of at least AU$50,000 in return for the issuance of unsecured convertible notes with an equivalent face value. The facility is for a six-month term, which may be extended by the firm with the consent of the subscribers.
The notes carry interest at a rate of 15% per annum for the term, after which the firm will request shareholder approval to convert the notes and accrued interest into shares at a conversion price of AU$0.007 per share.
Each conversion share will be accompanied by one free attaching unquoted option with an exercise price of AU$0.02 each and an expiry date of four years from the date of issue.
Its shares surged 75% on market close on Wednesday.
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