VendTek Systems offers to repay 6% convertibles with new convertibles

Company offers two types of notes with C$0.10 conversion price

By Devika Patel

Knoxville, Tenn., Jan. 24 - VendTek Systems Inc. said it has offered to issue new convertible debentures to the holders of its C$2.3 million 6% convertible debentures, which are due on Jan. 25, 2014, instead of repaying the debentures in cash.

The company is offering two types of replacement debentures

The first debenture is due on Feb. 25, 2017, has a 9% coupon and converts at C$0.10 per share. This debenture will be accompanied by 50% warrant coverage. The warrants are each exercisable at C$0.12 until Feb. 25, 2017.

The second debenture is due on Feb. 25, 2017, has a 7.5% coupon and also converts at C$0.10 per share.

The company has already negotiated agreements with investors holding about C$400,000 of debentures to accept this offer.

VendTek is a software application and services company based in Port Coquitlam, B.C.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.