Petrone Worldwide, Inc. announced that it has received $0.11 million in funding
February 10, 2017
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Petrone Worldwide, Inc. (OTCPK:PFWI) announced that it has entered into a securities purchase agreement for private placement of convertible promissory note for gross proceeds of $110,000 on February 10, 2017. The transaction included participation from new investor Labrys Fund, LP. The company issued note at par. The note carries a fixed interest rate of 12% per annum. The note is due and payable six months from the date of issue. The note carries maturity date of August 10, 2017. The company may prepay any amount outstanding under the notes, during the initial 180 day period after the issuance, without any prepayment penalty by paying the face amount plus accrued interest through such prepayment date. After the expiry of 180 days from the date of issue, the company shall have no right of prepayment. Any amount of principal or interest that it due under the note which is not paid by the maturity date, will carry fixed interest rate of 24% per annum until the note is satisfied in full. The notes is convertible into common shares, at a conversion price per share equal to 55% of the lowest traded price of the common stock for 20 trading days immediately preceding the date of the date of conversion, upon the terms and subject to the conditions of the notes. The company also issued 1,341,463 common shares to the investor as a commitment fee. The company issued securities pursuant to exemption provided under Regulation D. The company reimbursed the investors’ legal expenses of $3,000 and paid transaction expenses of $7,000 to The EquiLux Group, L.P. The company received net proceeds of $100,000 in the transaction.
Petrone Worldwide, Inc. (Petrone Worldwide) is an importer and distributor of commercial grade tableware products, decorative hotel guest room amenities, lavatory and bathroom fixtures and furniture, food and beverage service items, and trendy accessories for the Asian and the European marketplaces. The Company's brands include Front of the House and Room 360. Petrone Worldwide sells and markets products under its own name and acts as a distributor primarily to companies to the hospitality trade. The Company's product lines consist of hotel groups, such as Marriott Hotel Brands, The Four Seasons Hotel & Resorts, Hilton Worldwide, Hyatt Hotels & Resorts, Starwood Hotel & Resorts, and Fairmont Hotel & Resorts, and smaller hotel chains and upscale restaurants. The Company sells product lines, such as front of the house collection and room360 degree back of the house collection.