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VANCOUVER, Jan. 12, 2016 /CNW/ - TIO Networks Corp. (TSX.V:TNC) "TIO" or the "Company" is pleased to announce that it has entered into an agreement with PI Financial Corp. (the "Underwriter") and a syndicate of other dealers pursuant to which the Underwriter has agreed to purchase for sale, on a bought deal basis, 2,659,575 shares of the Company at a price of $1.88 per common share (the "Private Placement"). The gross proceeds to the Company will be for $5 million CAD.
The Company has also granted the Underwriters an over-allotment option to purchase up to an additional 15% of number of shares in the offering on the same terms and conditions as the Private Placement. The over-allotment may be exercised in whole or in part at any time 24 hours prior to the closing date of the offering.
The Company will pay the Underwriter a fee equal to: 6% of the gross proceeds of the Private Placement, payable in cash. The proceeds raised under the Private Placement will be used for general working capital and corporate purposes.
The Private Placement is expected to close on or about Jan 28, 2016 and is subject to the Company receiving all necessary regulatory approvals. Securities issued under the Private Placement will be subject to a four month hold period which will expire four months plus one day from the closing date of the Private Placement.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities to, or for the account or benefit of, persons in the United States or "U.S. persons" ("U.S. Persons"), as such term is defined in Regulation S under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"). The securities have not been and will not be registered under the U.S. Securities Act or any state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the United States or U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
About TIO Networks
TIO is a multi-channel cloud-based bill payment processor serving the largest telecom, wireless, cable and utility bill issuers in North America. TIO symbolizes fast, convenient and secure bill payment. Visit: www.TIOnetworks.com. Join the conversation: www.twitter.com/TIOnetworks or like us: http://www.facebook.com/TIOnetworks
This press release has been prepared by TIO Networks Corp. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE TIO Networks Corp.
Renseignements: Richard Cheung - CFO - TIO Networks, Tel: 604.298.4636, Ext. 265, Email: email@example.com; John Lewis - Bus Dev - TIO networks, Tel: 416.523.7086, Email: firstname.lastname@example.org; Brix Media Co. - Ryan Tessier, email@example.com, 604-215-2749