Reven Housing REIT, Inc. (RVEN)

[kimzerfantastik]

10/01/13...Reven Housing REIT Bolsters Balance Sheet With $11.9 Million in Financing,
http://ih.advfn.com/p.php?pid=nmona&article=59446783&symbol=RVEN

LA JOLLA, Calif., Oct. 1, 2013 /PRNewswire/ -- Reven Housing REIT, Inc. ("Reven" or the "Company") (OTCQB: RVEN) today announced that it has completed a private financing of $11.9 million on September 27, 2013.

The financing consisted of the Company's sale of common shares to King APEX Group II, Ltd. and King APEX Group III, Ltd., which funds are both managed by Allied Fortune (HK) Management Limited, a Hong Kong based funds management company in exchange for $11,000,000 of new capital. The Company also converted $902,176 of principal outstanding under previously issued 10% Convertible Promissory Notes ("Bridge Notes") at the offering price of $0.20 per share. The financing proceeds will be used to pay off approximately $152,176 of the remaining outstanding principal of the Bridge Notes that did not convert into shares of the Company's common shares and approximately $88,821 in accrued interest of the Bridge Notes. In addition, the financing proceeds will be used to acquire real estate investments and for future working capital needs. Additional details regarding the financing can be found in the Form 8-K to be filed with the U.S. Securities and Exchange Commission.

The cash portion of financing represents the initial closing of the proposed sale of up to $25 million of common shares by the Company at $0.20 per share. The Company expects to conduct additional closings for up to an additional $14,000,000 before the end of the calendar year.

Chad M. Carpenter, Chairman and CEO, explained, "This financing marks a major milestone in the growth of our Company. The amount of new capital, coupled with the conversion of 86% of the outstanding Bridge Notes, provides Reven with a relatively debt free balance sheet going forward and over $10,000,000 million in cash. Our plan is to move quickly in acquiring additional real estate investments."

Xiaofan Bai, Chairman & CEO of Allied Fortune (HK) Management Limited, states, "We are very excited about this new investment in Reven and intend to invest more capital for future acquisitions and assist the Company with its capital strategies."

SOURCE Reven Housing REIT, Inc.