San Diego, California–(Newsfile Corp. – September 9, 2022) – Direct Communication Solutions, Inc. (OTCQX: DCSX) (CSE: DCSI) (FSE: 7QU), a leading provider of information technology solutions for the Internet of Things (IoT) market, is pleased to announce that it has closed the non-brokered private placement announced on August 10, 2022 on a fully subscribed basis (the “Offering”). The Company has issued an aggregate of US$1,500,000 (CDN$1,920,000) in unsecured convertible debentures (“Debentures”).
Chris Bursey, CEO, said, “We have always strived to be diligent in our capital raising to ensure minimal dilution for our shareholders, and this will assist with our process of uplisting to a senior US Exchange.”
The Debentures will have a maturity date of twenty-four (24) months from the date of issuance and shall bear interest at the rate of 10% per annum, paid semi-annually. Pursuant to the terms of the Debentures, the subscribers may convert all or part of the principal amount outstanding under the Debentures into shares of common stock of the Company. The Debentures are convertible into shares of common stock of the Company (the “Shares“) at the higher of US$1.19 or a price equal to the price of the Shares of the next financing carried out before the 2nd anniversary of the closing date less a 25% discount.
Upon issuance of the Debentures the Company shall also issue 750,000 share purchase warrants (the “Warrants“). Each Warrant entitles the holder to purchase one Common Share (a “Warrant Share“) at a price of US$0.86 (CDN$1.10) per share for a period 24 months from the date of issuance of the Debentures.
The debentures have not been and will not be registered under the U.S. Securities Act. Subject to certain exceptions, the debentures may not be offered or sold within the United States, or to or for the account or benefit of U.S. persons (as defined in Regulation S under the U.S. Securities Act).
The Company intends to use the proceeds of the Debenture Offering for general working purposes.
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In the Company’s announcement on September 2, 2022 it had mistakenly noted it had entered into a contract with Real Capitol Hill Consultation Corp. The Corporation name should have been noted as Real Capitol Hill Consulting Corp. All other details of the release remain the same. We apologize for any confusion this may have caused.
About Direct Communication Solutions, Inc.
DCSI is a technology solutions integrator focusing on connecting the Internet of Things. We provide real solutions that solve real problems. Our software applications and scalable cloud services collect and assess business-critical data from all types of assets. DCSI is headquartered in San Diego, California and is publicly traded on the OTCQX (“DCSX”), Canadian Securities Exchange (“DCSI”) and Frankfurt Stock Exchange (“7QU”). For more information, visit www.dcsbusiness.com. DCSI and the DCSI logo are among the trademarks of DCSI in the United States. Any other trademarks or trade names mentioned are the property of their respective owners.
Contacts:
Bill Espley, Director
bespley@ dcsbusiness.com
604-630-3072
Chris Bursey, CEO
[email protected]
858-525-2483
Forward-Looking Statements
This release contains forward-looking statements, which reflect management’s current views of future events and operations. These statements are based on current expectations and assumptions that are subject to risks and uncertainties that could cause actual results to differ materially. We believe that these potential risks and uncertainties include, without limitation: the ongoing COVID-19 pandemic, the Company’s dependence on third-party manufacturers, suppliers, technologies and infrastructure; risks related to intellectual property; industry risks including competition, online security, government regulation and global economic conditions; and the Company’s financial position and need for additional funding, Statements in this release should be evaluated in light of these factors. These risk factors and other important factors that could affect our business and financial results are discussed in our Management’s Discussion and Analysis, periodic reports and other public filings which are available on SEDAR at www.sedar.com and posted with the OTC Disclosure and News Service. DCS undertakes no duty to update or revise any forward-looking statements.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
