CryptoGlobal Secures $15 Million in Financing

CryptoGlobal (TSXV:CPTO) has announced it is entering into an agreement with a strategic investor will provide up to $15 million of financing subject to CryptoGlobal meeting certain requirements.

As quoted in the press release:

The net proceeds received by the company will be used to build out CryptoGlobal’s growing mining operations and to accelerate the growth of Blockchain Dynamics Inc. (pending completion of the acquisition) confirms CryptoGlobal CEO Rob Segal.

“This show of financing support strengthens the company’s vision to build a leading Canadian FinTech company, that includes custodial, proprietary trading, exchange, insights and content — underpinned by a diversified cryptocurrency mining operation,” he says.

Special Warrant Financing Terminated
CryptoGlobal announces that it has terminated its previously announced brokered private placement offering of special warrants for gross proceeds of up to CAD $10 million.

Description of New Financing
CryptoGlobal has agreed to enter into a secured credit facility with a strategic investor in the amount of up to CAD $15 million to be drawn in tranches of CAD $5 million each at CryptoGlobal’s option (the “Credit Facility“). Each tranche of the Credit Facility will have a term of two years and bear interest, when amounts are drawn, at the rate of 10% per annum, payable quarterly. In consideration for the Credit Facility, the company will pay a standby set-up fee of CAD $750,000 on closing.

Click here to read the full press release.