Thursday, 25 January 2007

Brainhunter Announces Financing

Jan. 15th: Brainhunter Announces Convertible Notes Financing of $2.0 Million; Insiders Subscribe for Approximately 75% ($1.5 million).
Brainhunter announced it had received preliminary approvals and price protection for a Convertible Notes financing of $2.0 Million (2 yr term from closing with a 10% interest rate), convertible into BH common shares at $0.75 per share.

Management and Insiders continue to demonstrate their commitment to this story and have subscribed for approximately 75% of the financing or $1,500,000, in accordance with regulatory guidelines. Of this amount the Chairman / CEO together with two of the directors have committed to $1.3 million. The remainder is from other employees of Brainhunter.

Regulatory approval requires closing of the transaction on or before January 30, 2007. The use of proceeds is for working capital purposes to fund growth opportunities from both existing operations and acquisitions and to provide underlying subordinate capital support for senior debt facilities.

Click here for the full release.