BROSSARD, Quebec, June 14, 2018 (GLOBE NEWSWIRE) — DIAGNOS Inc. (“DIAGNOS”, “the Corporation” or “we”) (TSX Venture:ADK) (OTCQB:DGNOF), a leader in early detection of critical health issues through the use of its FLAIRE platform based on Artificial Intelligence (AI), announces today the signing of an agreement with Momentum Public Relations Inc. (“Momentum”) with the objective of raising DIAGNOS profile among targeted institutional and private investors. DIAGNOS is also providing an update on current financing activities.
Investor relation firm Momentum
The agreement with Momentum started June 1, 2018 for an initial term of nine months. The compensation for the initial term is comprised of a fee of $60,000 and 500,000 stock options. Stock options vest at 50% per year, commencing with the first anniversary of the grant. The exercise price of the stock options has been established at $0.08 per common share. The expiry date to which the options can be exercised has been fixed to June 14, 2023.
Max Gagné, president of Momentum, stated: “We are extremely proud to include DIAGNOS to our roster of carefully selected clients. They are leaders in utilizing the power of Artificial Intelligence to detect important health issues. We believe this type of early detection and monitoring will be utilized internationally. It is easily implemented, reduces preventable health complications along with their associated costs. DIAGNOS has been a pioneer in the sector and is well positioned to be a dominant global player.”
Momentum PR assists public companies in distributing their messaging to target audiences within the North American investment community. Through a national network of institutional investors, analysts and financial media relationships, the team may communicate the clients’ value drivers, growth potential and development vision clearly and efficiently. The experienced team of communications specialists work closely with senior management to build campaign objectives and market activity while executing on a long term investor relations strategy and respond to immediate changes.
Additional information about Momentum is available at www.momentumpr.com.
DIAGNOS announces the closing of a first tranche of 5 units (each a “Unit”) for gross proceeds of $250,000 in connection with the private placement of units initially announced on May 28, 2018. Each Unit consists of:
- One Secured, Convertible and Redeemable Debenture (“Debenture”), 3-year term, 10% annual interest, principal of $50,000 per Debenture, and
- 200,000 stock warrants (each a “Warrant”) entitling the holder to purchase one common share (“Share”) per Warrant at a price of $0.15 per Share, for a period of 18 months from the date of issuance.
At the sole option of the holder of the Debenture, the principal amount of the Debentures may be converted at any time during the 3-year term, in whole or in part, into Shares of the Corporation at a price of $0.10 per Share. Any accrued interest on the Debenture principal, at time of conversion by the holder, is immediately payable in cash.
If, at any time after the first anniversary of the Debenture and until maturity, the volume weighted average price of the Shares on the TSX Venture Exchange is equal to or higher than $0.18 for 20 consecutive trading days, the Debentures shall be redeemable, in whole or in part, at the sole option of the Corporation, into Shares of the Corporation at a price of $0.10 per Share. Any accrued interest on the principal, at time of redemption, will be immediately payable in cash.
Final closing of the private placement of units is expected to occur on, or before, June 22, 2018. The proceeds of the private placement of units will be used to continue developing new geographical markets and to fund operating and product development expenses.
In connection with the private placement of units, a commission in the form of cash of $3,000 and grant of 12,000 stock warrants (each, a “Finder Warrant) is payable to Trump Securities, LLC (“Trump”). Each Finder Warrant entitles Trump to purchase one Share per Warrant at a price of $0.15 per Share, for a period of 60 months from the date of issuance.
The Debentures are sold in Canada on a prospectus-exempt basis and the common shares underlying the Debentures and stock warrants are subject to a statutory four-month hold period.
DIAGNOS is also announcing the closing of a private placement – shares of 1,600,000 units (each a “Share-Unit”), issued at $0.075 per Share-Unit, for gross proceeds of $120,000. Each Share-Unit consists of;
- one common share (“Share”), and
- one share warrant (“Share-Warrant”) entitling the holder to purchase one Share per Share-Warrant at a price of $0.10 per Share, for a period of 18 months from the date of issuance of the Share-Warrant.
The proceeds of the private placement – shares will be used to fund marketing and administrative expenses.
Shares issued as part of the private placement – shares, as well as the underlying Shares to be issued upon exercise of the Share-Warrants, are subject to a statutory four-month hold period from the date of issuance.
The private placement of units as well as the private placement – shares are subject to receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange, as well as the execution of formal documentation.
All monies quoted in this press release shall be stated and paid in lawful money of Canada.
DIAGNOS is a publicly-traded Canadian corporation with a mission of early detection of critical health issues through the use of its Artificial Intelligence (“AI”) tool CARA (Computer Assisted Retina Analysis). CARA is a tele-ophthalmology platform that integrates with existing equipment (hardware and software) and processes at the point of care (“POC”). CARA’s Artificial Intelligence image enhancement algorithms make standard retinal images sharper, clearer and easier to read. CARA is accessible securely over the internet, and is compatible with all recognized image formats and brands of fundus cameras, and is EMR compatible. CARA is a cost-effective tool for screening large numbers of patients in real-time and has been cleared for commercialization by several regulatory authorities such as Health Canada, the U.S. Food and Drug Administration and the European Union.
Additional information about DIAGNOS is available at www.diagnos.com and www.sedar.com.
For further information, please contact:
|Mr. André Larente, President||Mr. Josh Falle|
|DIAGNOS Inc.||Momentum PR|
|Tel: 450-678-8882 ext. 224||Tel: 514-416-4656|
This news release contains forward-looking information. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in these statements. DIAGNOS disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise. The forward-looking information contained in this news release is expressly qualified by this cautionary statement.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.