MedX Health proposes $5 million convertible loan note private placement

MedX Health Corp. (TSX-V: MDX) announced a proposed non-brokered private placement of up to $5 million through the issuance of up to 100 Series IV Convertible Loan Notes to accredited investors. Each note carries a face value of $50,000.

The Series IV Notes will bear 6% annual interest paid quarterly and mature on December 31, 2028. Note holders may convert their notes into units at $0.10 per unit at any time before maturity. Each unit consists of one common share and one-half of a share purchase warrant, with each whole warrant exercisable at $0.125 until the maturity date.

The placement requires a minimum subscription of $2.65 million and is subject to regulatory and stock exchange approvals. Holders of existing Series I Convertible Loan Notes may surrender those notes as subscription for the new Series IV Notes. The company stated that certain insiders may participate in the placement under regulatory exemptions.

Qualified agents will receive a 6% cash commission on gross proceeds from subscribers they introduce, plus agent warrants equal to 6% of those subscriptions. Agent warrants are non-transferable and exercisable at CAD$0.10 for units containing one common share and one-half of a share purchase warrant at CAD$0.125.

The company plans to use proceeds for redeeming unredeemed Series I Notes, developing its SIAscopy technology on the DermSecure telemedicine platform, expanding into occupational health markets, and general corporate purposes.

MedX Health specializes in non-invasive skin screening and teledermatology through proprietary imaging technology. The Ontario-based company's products have regulatory clearances in Canada, the United States, Australia, New Zealand, the United Kingdom, the European Union and Turkey.

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