Rennova Health, Inc. (NasdaqCM:RNVA) announced that it has entered into a securities purchase agreement for a private placement of convertible notes for gross proceeds of $1,500,000 in a round of funding on January 29, 2017. The transaction will include participation from accredited investors including Sabby Management, LLC. The notes do not accrue any interest, and will mature in three months from the date of issuance. The notes are convertible into shares of the company’s common stock at a conversion price of $0.086 per share. In the event the Debentures are outstanding after the maturity date, the conversion price shall be reduced to $0.0531 per share. The company also issued 3,000,000 warrants exercisable into common shares at an exercise price of $0.086 per share at any time after six months from the date of closing for a period of five years. The company intends to close the transaction on or about February 2, 2017. The notes are being issued at an original issue discount of 5.660377%. The company issued securities pursuant to exemption provided under Regulation D. The company will reimburse $15,000 to Sabby Management, LLC for its legal fees and expenses and due diligence.