Leonovus Closes $1.5 Million Financing

LeoNovus Inc. closed a $1,500,000 financing by way of a non-brokered private placement for 30,000,000 units of the company at a price of CDN$0.05 per unit.

Each unit is one common share in the capital of the company and one common share purchase warrant. Each warrant is exercisable into one common share at a price of CDN$0.075 per common share for 18 months from the closing date of the offering. The TSXV granted conditional approval for this financing on September 19, 2017.

“The proceeds will be allocated towards working capital, sales and a significant amount of the proceeds towards our Blockchain initiatives to enhance our powerful security and compliance solution for bulk and archival data, which makes the total Leonovus solution even more attractive to our customers,” said Michael Gaffney, chairman and CEO.

In connection with the offering, the company will pay cash finder’s fees of 7% of the principal amount of funds raised, and will issue broker units in an amount of 7% of the number of units issued. Each broker unit is exercisable for a period of 18 months from the closing date of the offering for the purchase of one unit of the company at a price of $0.05. Each unit has the same terms as the Units in the Offering.

All securities issued under the offering are subject to a four month and one dy hold period from the date of issuance.