TSX Venture Exchange: VSI
VANCOUVER, Sept. 26, 2012 /CNW/ - VendTek Systems Inc. (TSX-V: VSI) ("VendTek" or the "Company") is pleased to announce that it has closed its previously announced non-brokered private placement of 860 debenture units (the "Debenture Units"), with each Debenture Unit consisting of one 6% unsecured convertible debenture of the Company having a principal amount of $1,000 (the "Debentures"), and one warrant for each share issuable upon conversion of the Debentures (each, a "Warrant") to purchase one common share of the Company, for a total of 7,818,181 Warrants being issued (the "Private Placement"). The Debentures will each mature on the date that is two years from the closing of the Private Placement and entitle the holder thereof to acquire one common share of the Company at a price of $0.11 per common share on conversion. Each Warrant is exercisable for two years from the closing of the Private Placement to acquire one common share of the Company at a price of $0.15 per common share. Privinvest Offshore SAL (Holding) ("Privinvest Offshore"), the Company's largest shareholder, was the sole subscriber for Debenture Units.
The Company intends to use the net proceeds from the sale of the Debenture Units to continue the Company's expansion plans for its Brazilian operations. As the Company's Brazilian subsidiary continues to increase the number of transactions that it processes, it needs to acquire additional inventory and will require greater working capital to support its growth initiatives.
No finder's fee was payable in connection with the issuance of the Debenture Units.
The Private Placement is subject to regulatory approval, and all securities issued in connection with Private Placement will be subject to a four-month and one day hold period under applicable securities laws, which will expire on January 27, 2013.
VendTek develops and licenses automated transaction system software and supporting technologies. VendTek's customers, subsidiaries and its Now Prepay division use e-Fresh™ software to build electronic, prepaid services networks that enable consumers to purchase prepaid products and services via POS and self-serve terminals connected to a central server. This system creates significant value through improved efficiencies compared to a traditional distribution model. e-Fresh™ reduces shrinkage and inventory requirements for vendors while improving consumer access to prepaid products and services by completely eliminating physical cards and vouchers. VendTek has deployed its software around the world including Canada, United States, Asia, the Middle East and Africa. For further information please visit the Company's websites www.vendteksystems.com and www.nowprepay.com.
Neither 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: VendTek Systems Inc.
For further information:
Samantha White at 604-805-4653 or 1-800-806-4958 or [email protected].