Notis Global, Inc. (OTCPK:MDBX) announced that it has entered into note purchase agreement for a private placement of promissory notes for gross proceeds of $250,000 on March 14, 2016. The transaction will include participation from new investor Chicago Venture Partners, L.P. The company will issue two promissory notes. The first promissory note will issue having a principal amount of $140,000 at an original issue discount of 12,500 for gross proceeds of $125,000.

The second promissory note will issue having a principal amount of $137,500 at an original issue discount of 12,500 for gross proceeds of $125,000. The notes carry a fixed interest rate of 10% per annum and would mature six months after the date of issuance. The notes are convertible into common shares of the company equals the amount being converted divided by 50% multiplied by the lowest daily volume weighted average price of the common shares in the 20 trading days immediately preceding the applicable conversion.

The company will pay legal fees of $5,000 in the transaction.