- Hampton Financial Corporation (HFC) has closed a non-brokered private placement of unsecured convertible debentures totalling C$5,500,000
- The debentures will mature in five years and bear interest at the rate of 9 per cent per annum
- Two million dollars of the proceeds from the offering were used to retire $2 million, 12 per cent unsecured notes that the corporation issued
- Hampton Financial Corporation is a private equity firm engaged in the family office, wealth management, institutional services and capital markets activities
- Hampton Financial Corporation (HFC) opened trading at C$0.68
Hampton Financial Corporation (HFC) has closed a non-brokered private placement of unsecured convertible debentures totalling C$5,500,000.
The debentures will mature in five years and bear interest at the rate of 9 per cent per annum, payable quarterly in March, June, September and December. The first interest payment will be made at the end of the first calendar quarter following the closing date. Interest will be payable in cash only and will cease to accrue on the Maturity Date.
The principal amount of the debenture is convertible into subordinate voting shares at any time prior to 4:00 p.m. ET on the maturity date at a conversion price of C$0.60 per share. Upon conversion, the debenture holders will receive a cash payment of any interest which accrues from the most recent interest payment date to the date of conversion.
Two million dollars of the proceeds from the offering were used to retire $2 million, 12 per cent unsecured notes that the corporation issued. The balance of the funds raised will be used for working capital and general corporate purposes.
All securities issued are subject to a statutory four-month hold period.
In connection with the closing of the second tranche of the offering, Hampton paid a finder’s commission consisting of $19,250 in cash and 32,083 warrants. The corporation paid a total of $151,050 and 251,750 warrants under both tranches of the offering.
Hampton Financial Corporation is a private equity firm that seeks to build shareholder value through long-term strategic investments. Through its subsidiary, Hampton Securities Limited, Hampton is engaged in family office, wealth management, institutional services and capital markets activities.
Hampton Financial Corporation (HFC) opened trading at C$0.68.
