The Pulse Network, Inc. (OTCBB:TPNI) announced that it will receive $300,000 in a round of funding from new investor, JMJ Financial, Inc. on January 29, 2014. The company will issue a convertible promissory note in the transaction. The note has a principal amount of $335,000 and will be issued at 10% original issue discount.

The note will mature on February 6, 2016 and bear a onetime interest charge of 12%, if the company does not prepay the note prior to May 7, 2014. The note is convertible at any time, in whole or in part, at the investor's option into common shares of the company at the lesser of $0.09 or 60% of the average of the lowest two closing prices in the 25-day pricing period before a conversion. In the event of default, the note is convertible at any time at the investor's option into common shares at the lesser of $0.09 or 60% of the lowest closing price in the 25-day pricing period preceding a conversion.

The investor cannot acquire more than 4.99% stake in the company upon the conversion of the note through this transaction. The company has reserved 17,000,000 shares for the conversion of the notes. The company will pay finder's fees equal to 7% of the gross proceeds to Avalon Partners.