TORONTO, Feb. 21, 2020 /PRNewswire/ - Media Central
Corporation Inc. (CSE:FLYY, FSE:3AT) ("MediaCentral" or the
"Company") reports that it has completed a non-brokered
private placement offering (the "Financing") for gross
proceeds of $1,626,000, subject to
final regulatory and exchange approvals.
The Financing consists of 10% senior secured convertible
debenture units (the "Debenture") at an issue price of $1,000 per Debenture. The Debentures will
have a maturity that is 24 months from the closing date of the
Financing and will bear interest at a rate 10.0% per annum, payable
quarterly.
Each Debenture may be converted at the option of the holder into
14,285 common shares (the "Common Shares") of the Company and 7,142
common share purchase warrants (the "Warrants"). Each Warrant
entitles the holder to acquire one Common Share at an exercise
price of $0.20 at any time up to 24
months from the closing date. The conversion price for the Common
Shares is equal to $0.07 per share
and the Debentures are subject to prepayment and forced conversion
terms under certain circumstances. The Debentures are subject
to a four-month hold period under applicable Canadian securities
law.
The Company intends to use the net proceeds from the Offering to
complete the closing of the previously announced acquisition of The
Georgia Straight (See press release dated January 6, 2020) and for general working capital
purposes.
In connection with the Financing, the Company paid cash fees of
$112,480 and issued 1,606,777
finder's options. The finder's options are exercisable into
common shares of the Company at a price of $0.20 per share for a period of 24-months from
the closing date.
About Media Central Corporation Inc.
Media Central
Corporation Inc. (CSE: FLYY, FSE: 3AT) is an independent media
company situated to acquire and develop high-quality publishing
assets starting with the recent acquisition of NOW Communications
Inc. and the launch of digital cannabis platform CannCentral.com.
MediaCentral is consolidating and digitally monetizing the over 100
million coveted and premium readers of the 100 alternative weekly
newspapers across North America,
creating the most powerful untapped audience of influencers.
www.mediacentralcorp.com
Instagram: @mediacentralcorp
Twitter: @mediacentralc
Facebook: Media Central Corp.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain information in this news release constitutes
forward-looking statements under applicable securities laws. Any
statements that are contained in this news release that are not
statements of historical fact may be deemed to be forward-looking
statements. Forward looking statements are often identified by
terms such as "may", "should", "anticipate", "expect", "potential",
"believe", "intend" or the negative of these terms and similar
expressions. Forward-looking statements in this news release may
include, but are not limited to, statements with respect to
internal expectations, expectations with respect to estimated
margins, cost structures, and cost structures in the media
industry. Forward-looking statements necessarily involve known and
unknown risks, including, without limitation, risks associated with
general economic conditions; adverse industry events; marketing
costs; loss of markets; future legislative and regulatory
developments involving; inability to access sufficient capital from
internal and external sources, and/or inability to access
sufficient capital on favourable terms; the media industry
generally, income tax and regulatory matters; the ability of
MediaCentral to implement its business strategies; competition;
currency and interest rate fluctuations and other risks.
Readers are cautioned that the foregoing list is not exhaustive
and should carefully review the various risks and uncertainties
identified in the Company's filings on SEDAR. Readers are further
cautioned not to place undue reliance on forward-looking statements
as there can be no assurance that the plans, intentions or
expectations upon which they are placed will occur. Such
information, although considered reasonable by management at the
time of preparation, may prove to be incorrect and actual results
may differ materially from those anticipated.
The forward-looking statements included in this news release are
made as of the date of this news release and the Company does not
undertake an obligation to publicly update such forward-looking
statements to reflect new information, subsequent events or
otherwise unless required by applicable securities laws.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
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SOURCE Media Central Corporation Inc.