Frankly Inc. (TSXV:TLK) announced a non-brokered private placement of units for gross proceeds of CAD 2,500,000 on January 28, 2020. Each unit will consists of CAD 1,000 aggregate principal amount of unsecured subordinate convertible debentures and one half of one common share purchase warrant. The company may pay finder's fee of no more than 6% of aggregate subscription amount raised through subscribers introduced by such finder's. The debentures will be unsecured in nature, will bear an interest rate of 4% per annum and will mature on April 30, 2020. The debentures will be converted into common shares of the company immediately prior to the completion of the transaction at a conversion price of CAD 0.67 per share. In the event that the parties determine to terminate the transaction or the transaction is not completed by the maturity date, the debentures will be redeemable by the company. The warrants will expire upon the earlier of the date that the parties determine to terminate and 24 months from the date of issue at an exercise price of CAD 0.90 per share subject to accelerated expiry should the common shares trade on the TSX Venture Exchange at CAD 1.35 or higher for 5 consecutive trading days. The transaction is subject to the approval of TSX Venture Exchange, as well as the entering into of satisfactory documentation in respect of the Torque Loan. All securities issued or issuable in connection with the transaction are subject to a statutory hold period of four months. The company expects to close its first tranche on or about February 4, 2020.