(TheNewswire)
Vancouver, B.C. – TheNewswire - November3 rd , 2022 - Plank Ventures Ltd. (“Plank” or the “Company”) (CSE:PLNK) announces that theyhave committed to a $177,200 CAD investment into Sitemax Systems Inc(“ Sitemax ”) in the form of a convertible promissory note (The“ Note ”). The Note carries a simple interest rate of 8% per annum(“ Interest ”) and matures two years from initial closing on October27, 2024 (“ Maturity ”). Interest accrued is due andpayable annually on the anniversary date of the Note. The Note issecured by the general security agreement against the assets ofSitemax.
The Note includes an automatic conversion clausewhereby it converts into equity securities of Sitemax upon significantfinancing transaction defined as the issuance and sale of preferredshares at a value of no less than $15,000,000 CAD pre-money resultingin aggregate gross proceeds of no less than $3,000,000 CAD to Sitemax.Additionally, the Note includes an optional conversion clause wherebythe Company may elect to convert the Note into the most senior classof shares upon change of control or convert into Class 1 Common sharesof Sitemax at anytime prior to maturity. The valuation cap used indetermining the conversion price is $7,500,000 CAD pre-money.
The Company will provide the investment amount of$177,200 CAD via termination of currently outstanding loans receivablefrom Sitemax, in particular: the loan initiated on March 16th, 2022with the combined principal and interest balance of $113,667 CAD, andthe loan initiated on September 29th, 2022 with the combined principaland interest balance of $63,533 CAD. The Company will roll thesepromissory note receivables to make up the $177,200 CAD. There is nowno further indebtedness due to Plank from Sitemax.
The proceeds of the investment will be used foroperations, sales and marketing, product development, hiring core teammembers, business development and other general working capitalpurposes of Sitemax.
About Sitemax Systems Inc.
SiteMax is a software product designed for the field tooffice communication needs of a commercial general contractor. SiteMaxis a full Construction Management software solution that has generatedmillions of daily logs, safety reports, photos records, time entriesand more, all over the world.
About Plank Ventures Ltd.
Plank is an investment company targeting investmentsand business opportunities in the technology arena, focusing onearly-stage start-up companies that already have developed a customerand revenue base and were seeking funding for expansion.
ON BEHALF OF THE BOARD OFDIRECTORS
“Laurie Baggio”
CEO and Director
For additional information please contact:
Laurie Baggio, CEO Tel: 778 300-7565
All statements in this pressrelease, other than statements of historical fact, are“forward-looking information” with respect to the Company, Sitemax Systems Inc., andtheir respective business within the meaning of applicable securities laws, including the business plans andprospects of the Company . The Company provide s forward-looking statements for the purpose of conveying informationabout current expectations and plans relating to the future andreaders are cautioned that such statements may not be appropriate forother purposes. By its nature, this information is subject to inherentrisks and uncertainties that may be general or specific and which giverise to the possibility that expectations, forecasts, predictions,projections or conclusions will not prove to be accurate, that assumptions may notbe correct and that objectives, strategic goals and priorities willnot be achieved. These risks and uncertainties include but are notlimited those identified and reported in the Company’s public filings under its SEDAR profile at www.sedar.com. Although the Company ha s attempted to identifyimportant factors that could cause actual actions, events or resultsto differ materially from those described in forward-lookinginformation, there may be other factors that cause actions, events orresults not to be as anticipated, estimated or intended. There can beno assurance that such information will prove to be accurate as actualresults and future events could differ materially from thoseanticipated in such statements. The Company disclaim s any intention or obligation to update orrevise any forward-looking information, whether as a result of newinformation, future events or otherwise unless required bylaw .
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