MONTREAL, Dec. 22 /CNW Telbec/ - The company announced today that management has signed a financing agreement for upto $950k. The financing is in 3 tranche disbursements over a period of 120 days with the initial deposit of $100k immediately of $250k and the balance payable prior January 20, 2011. There are 2 additional disbursements scheduled as follows; $200k (90 days) and the final $500k within 120 days from the first disbursement received. The agreement is for a period of 18 months per tranche disbursement at a yearly interest rate of 12%. In the terms of the agreement, both sides have the right to opt out of the deal and cap the financing or the financier has the option to speed up the financing by disbursing in full prior February 21st, 2011 and completing the term loan. The financier has asked for the future option to convert the loan within the 18 months with a price conversion of $0.25 with a warrant price of $0.30 on a 1 for 1 basis of conversion on the first tranche, thereafter the financier has also asked the right to convert the other tranches as well at $0.25 but whereas each warrant thereafter increases in price by 15% to a maximum of $0.495.
There is an 8% finder's fee associated with the deal which is payable per disbursement settlement.
About Freeport Capital Inc. (CNSX:FAS)
Freeport Capital Inc. (CNSX:FAS) provides Internet-based point-of-sale (POS) technology solutions for businesses and consumers worldwide with end-to-end solutions that makes credit/debit card transactions considerably more affordable and accessible for merchants requiring mobile, online and pc/laptop access.
The Canadian National Stock Exchange (CNSX) has not reviewed this news release and does not accept responsibility for its adequacy or accuracy. This news release does not constitute a solicitation to buy or sell any securities in the United States.
For further information: For further information: