Wisdom Homes of America, Inc. (OTCPK:WOFA) announced that it has entered into a securities purchase agreement for private placement of 1 8% convertible redeemable promissory note at $30,000 per note for gross proceeds of $30,000 on June 17, 2015. The transaction will involve sole participation from new accredited investor, GW Holdings Group, LLC. The note has a maturity date of June 17, 2016.

The note is convertible after 180 days into shares of the company at 58% of the lowest trading price of common stock for the 10 prior trading days, with a floor of $0.0001 per share. The note can be prepaid by the company at a premium of 125% of the principal amount if paid between 0 and 90 days after issuance, 135% of the principal amount if paid between 91 and 150 days after issuance, 145% of the principal amount if paid between 151 and 180 days after issuance. The company cannot prepay the note after 180 days.

The transaction is expected to close on June 17, 2015. The company will reimburse investor's legal expenses of $1,500 and will receive net proceeds of $28,500.