15th Oct 2015 09:02
LONDON (Alliance News) - PeerTV PLC Thursday said it has signed an amendment to the Standby Equity Distribution Agreement with YA Global Master SPV Ltd.
The technology solutions provider said the agreement has been extended for one year while the amount committed has been increased to GBP1.8 million from GBP1.5 million.
The cumulative amount drawn down under the agreement totals GBP1.0 million, and both companies have also agreed to a further tranche of funding of USD171,000 under the convertible note agreement signed in February.
PeerTV will receive USD107,200 net of costs due to YA which consists of an implementation fee of USD50,000 in respect of the extension and USD13,680 in respect of draw down fees under the convertible loan note agreement.
If YA converts any of its debt under this tranche of funding, it is agreed that the issue price per share will be 0.024 pence, which is 120% of the closing price on October 12.
PeerTV added that its subsidiary Digitek SMT Assemblies Ltd is unable to complete its order with an Israeli customer by the expected completion date of end-October due to failure to receive the necessary financing.
Digitek was supposed to deliver the order to the Israeli developer and producer of advanced fleet management systems for a total consideration of USD192,000, with purchase order financing to be provided by a third party.
However, PeerTV said Digitek has been unable to conclude the financing arrangements.
"The directors of the company believe that completion of the order may still be possible if the necessary financing can be arranged," PeerTV said.
Shares in PeerTV were trading down 4.4% at 0.0215 pence Thursday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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