Agereh Technologies (AUTO.V) after trade Wednesday said it is planning a non-brokered private placement of 5% convertible unsecured debentures for gross proceeds of up to $200,000.
The net proceeds will be used for sales and marketing expenses, as well as general working capital, the company said, adding that each debenture will be issued at $1,000, carry 5% annual interest, and mature 24 months from the date of issue, at which point the full principal amount and any accrued but unpaid interest will become due and payable in cash to the holder.
The private placement remains subject to regulatory approval, including approval from the TSX Venture Exchange, and may close in multiple tranches as determined by the company, according to the statement.
The company's shares last traded Tuesday, closing at $0.065 on the TSX Venture Exchange.