NEW YORK, May 7, 2019 /PRNewswire/ -- Jerrick Media Holdings, Inc., (OTCQB: JMDA) (the "Company" or "Jerrick"), a technology company and the creator of Vocal, today announced the closing of its offering of one-year, 10% Convertible Promissory Notes (the "Notes"), securing gross proceeds totaling $2,025,525 in a non-brokered financing. The current aggregate amount of cash proceeds from the offering includes $1,863,025 received to date as well as an additional $162,500 due upon the achievement of certain milestones as outlined in the Securities Purchase Agreement. The Notes are mandatorily convertible into shares of the Company's common stock at the lesser of $0.25 per share or the price of a subsequent qualified offering. Holders of the Notes received four-year stock purchase warrants to purchase a quantity of shares of the Company's common stock up to thirty-three percent (33%) of the number of shares of common stock into which the underlying Notes may be converted, at an exercise price of $0.30 per share. The transaction was led by Mark Standish, former Co-CEO of RBC Capital Markets, and other key current investors.
Jerrick CEO Jeremy Frommer commented, "Technology development and increasing revenue opportunities have enabled the company to raise capital at above market levels. This reflects the underlying value of our technology platform, Vocal, and the expertise of Jerrick's management team. The balance sheet is in a strong position and revenue traction is being continuously validated. I am thankful for the continued support of a united shareholder base. We continue to anticipate delivering near-breakeven cashflows as we exit fiscal year 2019."
Jerrick is a holding company that develops technology-based solutions designed to solve for challenges that have resulted from disruption and evolution within the broad media and content generation environment. Its flagship product Vocal is a long-form, digital publishing platform focused on supporting content creators by providing them with content management tools that are embedded within digital communities. Vocal is architected to enable targeted marketing of branded content and e-commerce opportunities embedded within long-form content. Vocal's community sites are managed by a dedicated team, whose primary focus is on creating healthy communities and identifying monetization opportunities within them.
For more information please review our Investor Presentation: https://jerrickmedia.docsend.com/view/bhxtb5g
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Jerrick Media Holdings, Inc.
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