By Sheri Kasprzak
New York, Jan. 9 - TIR Systems Ltd. raised another C$2.8 million in principal of convertible debentures, bringing to C$30 million the total proceeds raised in the offering.
The 7% debentures mature in 2011 and are convertible into shares at C$1.30 each.
The interest rate on the debentures drops to 0% in any quarter the company's trading price exceeds the conversion price by 225%.
For every C$1,000 in principal of the debentures, the investors received warrants for 200 shares. The warrants are exercisable for three years at C$1.50 each.
On Oct. 28, the company raised C$14.2 million in principal of the debentures and on Nov. 21, the company closed a C$9 million tranche of the deal. On Dec. 29, Zumtobel AG bought C$4 million of the debentures.
Corridor Capital, LLC invested C$500,000 in the offering and Lighting Services Inc. bought C$237,000 of the debentures.
Proceeds will be used for commercialization and general corporate purposes.
Vancouver, B.C.-based TIR develops lighting systems using sound-based and other technologies.
| Issuer: | TIR Systems Ltd.
|
| Issue: | Convertible debentures
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| Amount: | C$2.8 million
|
| Maturity: | 2011
|
| Coupon: | 7%
|
| Price: | Par
|
| Yield: | 7%
|
| Conversion price: | C$1.30
|
| Warrants: | For 200 shares per C$1,000 in principal purchased
|
| Warrant expiration: | Three years
|
| Warrant strike price: | C$1.50
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| Investors: | Zumtobel AG, Corridor Capital, LLC, Lighting Services Inc.
|
| Settlement date: | Jan. 9
|
| Stock price: | C$1.65 at close Jan. 6
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