Mobi724 Global Solutions Inc. (MOBIF)

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Freeport Capital Inc
Symbol C : FAS
Shares Issued 10,125,000
Recent Sedar Documents
Freeport Capital arranges $950,000 loan

2010-12-22 14:28 ET - News Release


Mr. Mike Tasillo reports

FREEPORT CAPITAL INC. (CNSX:FAS) SIGNS FINANCING AGREEMENT FOR UPTO $950K WITH 18 MONTH TERM

Freeport Capital Inc.'s management has signed a financing agreement for up to $950,000. The financing is in three tranche disbursements over a period of 120 days with the initial deposit of $100,000 immediately of $250,000 and the balance payable prior to Jan. 20, 2011. There are two additional disbursements scheduled as follows: $200,000 (90 days) and the final $500,000 within 120 days from the first disbursement received. The agreement is for a period of 18 months per tranche disbursement at a yearly interest rate of 12 per cent. In the terms of the agreement, both sides have the right to opt out of the deal and cap the financing, or the financier has the option to speed up the financing by disbursing in full prior to Feb. 21, 2011, and completing the term loan. The financier has asked for the future option to convert the loan within 18 months with a price conversion of 25 cents with a warrant price of 30 cents on a 1-for-1 basis of conversion on the first tranche; thereafter, the financier has also asked for the right to convert the other tranches as well at 25 cents, but each warrant thereafter increases in price by 15 per cent to a maximum of 49.5 cents.

There is an 8-per-cent finder's fee associated with the deal which is payable per disbursement settlement.