TORONTO, April 27 /CNW/ - Intertainment Media Inc. ("Intertainment" or the "Company") (TSXV:INT) is pleased to announce that it has completed the initial closing of its previously announced brokered private placement financing with M Partners Inc. (the "Agent"). Intertainment issued a total of 14,498,329 units ("Units") at a price of $0.16 per Unit for gross proceeds of approximately $2,319,730 in this initial closing. Each Unit issued pursuant to the private placement is comprised of one common share of Intertainment ("Common Share") and one common share purchase warrant ("Warrant"). Each Warrant entitles the holder to acquire one Common Share for a period of 24 months following the closing of the private placement at an exercise price of $0.20 per Common Share. All securities issued in connection with this private placement will be subject to a four-month hold period. A second closing is expected to be completed shortly.
It is anticipated that the net proceeds of the private placement will be used to fund the Company's growth, the repayment of outstanding debentures issued on various dates from November 2006 to December 2007 and for general working capital.
The Agent was entitled to a cash commission of 7% of the gross proceeds from the Units arranged for sale by it, and was issued Agent's options to purchase that number of Units equal to 7% of the Units arranged for sale by it, exercisable for 24 months following the closing of the private placement.
Completion of the private placement is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals including TSX Venture Exchange acceptance. Following the completion of the private placement the Corporation has 117,448,662 Common Shares issued and outstanding.
About Intertainment - www.intertainmentmedia.com
Connecting people with brands, Intertainment Media Inc. is a Rich Media Applications leader, focused on delivering leading edge technology and marketing solutions enabling clients to power enhanced branding, loyalty initiatives and consumer engagement. Selected as a Microsoft Global Agency Initiative partner, Intertainment has joined an elite group of interactive agencies worldwide that Microsoft recommends to its Partners and Customers.
Intertainment owns a number of key properties including Ad Taffy (www.adtaffy.com), itiBiti (www.itibiti.com) and Magnum Fine Commercial Printing Limited (www.magnumprinting.com).
Headquartered in Richmond Hill, ON, with offices in New York, Los Angeles and San Mateo, CA, Intertainment Media Inc. is listed on the TSX Venture Exchange under the symbol "INT".
This news release may contain forward-looking statements. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not undertake any duty to update any forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE INTERTAINMENT MEDIA INC.
For further information: For further information: Corporate Inquiries: David Lucatch, CEO, (905) 763-3510