MNGA: MagneGas Announces Financing Transaction
MagneGas Corporation ("MagneGas" or the "Company") (NASDAQ: MNGA), a leading clean technology company in the renewable resources and environmental solutions industries, announced today that it has entered into a securities purchase agreement with certain existing and new institutional accredited investors to purchase upto approximately $850,000 of its common stock and warrants to purchase Series D convertible preferred stock.
At the initial closing under the securities purchase agreement, the Company will issue to the investors a total of 150,000 shares of common stock at a purchase price of $1.00 per share. The remainder of the funding will be made available to the Company through the exercise of the warrants being issued in the offering based on market conditions. The warrants will be exercisable for up to 694,422 shares of the Company's Series D convertible preferred stock at an exercise price of $1.00 per share. Terms of the financing and related agreements were disclosed in the Company's Form 8-K filed with the Securities and Exchange Commission on July 24, 2017.
