AllDigital Holdings, Inc announced that it expects to receive $3 million in funding
October 15, 2014
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AllDigital Holdings, Inc. (OTCBB:ADGL) announced that it will receive $3,000,000 in funding on October 16, 2014. The company will issue convertible secured debt in the transaction. The company will issue securities pursuant to exemption provided under Regulation D. Each outside investor will invest minimum of $25,000 in the transaction.
On the same date, the company announced that it has entered into a securities purchase agreement with two accredited investors and issued 5% senior secured convertible notes for gross proceeds of $550,000. The note carries a fixed interest rate of 5% per annum and matures on December 31, 2016. The interest is payable quarterly on the fifth day after the last business day of each calendar quarter beginning with the quarter ended December 31, 2014. After the maturity date, and until the outstanding principal and accrued interest on the note has been paid, the note will bear an interest rate of 1% per month. The outstanding principal amount of notes is convertible at any time prior to repayment into common shares of the company at a conversion price of $0.15 per share, subject to adjustment for stock splits, stock dividends and recapitalizations. All accrued interest on the notes shall be paid in cash upon any conversion of the notes.
In October and November 2014, the company has issued notes for gross proceeds of $250,000 bringing the total funding raised to $750,000 in the transaction from three investors. The notes are secured by all of the company's assets.
On August 4, 2015, AllDigital Holdings, Inc (OTCPK:ADGL)losed the transaction. The company has received $2,218,461.45 in funding from 13 accredited investors. The Initial Notes had a maturity date of December 31, 2017. The notes are convertible into up to 14,789,739 common shares.
AllDigital Holdings, Inc. (AllDigital) is a software as a service (SaaS) company. The Company offers various solutions, which include enterprise, small and medium businesses, original equipment manufacturer (OEM) and resellers, corporate applications, media and entertainment, and integration services. The Company develops Brevity, which is a software product. Brevity is a solution with various features, including file transport, transcoding and workflow management. It offers AllDigital Brevity Cloud, which is a platform that uploads, transcodes and delivers video files. It offers AllDigital Brevity Pro, which is a software for the on-premise appliances wanting to either encode, upload or deliver video locally or connect to other physical or virtual locations. It offers various technologies, such as AllDigital Brevity Application Programming Interface (API), AllDigital Cloud, Azure Cloud, Level 3 Video Player, White Paper, Video Transcoding Software and Video Compression Software.