VerifyMe Closes $2 Million Financing and Eliminates All Variable Priced Convertible Debt
Cash Infusion Provides Growth Capital and Removes Risk from Balance Sheet
Rochester, NY – Accesswire – March 4, 2020 – VerifyMe, Inc. (OTCQB: VRME) (“VerifyMe” or the “Company”), a digital technology solutions provider that markets invisible identifiers and codes for the prevention of counterfeiting and the authentication of labels, packaging and products, is pleased to announce that it has closed on a $2 million financing of fixed price convertible debentures and warrants.
Part of the proceeds were used to eliminate all of the prior outstanding Convertible Notes, which were variable priced with no set floor price, and were convertible into common stock at a discount to market in mid-March 2020. The remaining proceeds will be used for general corporate working capital needs.
VerifyMe’s Board of Directors and Executive Management team participated in the financing.
VerifyMe Chief Executive Officer Patrick White, commented, “We are extremely pleased at the efforts of Carter Terry and Co. to bring in a new slate of well-known successful institutional and high net worth investors in this financing. This funding removed any market risk associated with convertible debt with variable rate pricing discount to market. That debt has been paid off and is no longer on the balance sheet.”
Mr. White, continued, “The additional capital provided enables us to deliver on the continued demand for our digital technology solutions that provide identifiers and serialization for authenticating, tracking and tracing functions for labels, packaging and products. We expect that this growth in demand will extend throughout 2020 and beyond. This capital infusión, along with our previously announced sales and marketing efforts, are making progress towards providing the necessary liquidity and structural enhancements to allow the Company to grow and enhance shareholder value.”
The private placement was led by investment banker Carter Terry. Carter Terry is a full service Broker Dealer located in Atlanta, GA.
About VerifyMe, Inc.
VerifyMe, Inc., is a technology solutions company that markets products supported by patents, patent applications and trade secrets which provides identifiers and serialization for authenticating, tracking and tracing functions for labels, packaging and products. The company also markets multi-factor biometric verification solutions to verify people. VerifyMe’s physical technology authenticates packaging, labels and documents with a suite of proprietary security inks and pigments, which work in conjunction with serialization and track-and-trace software. The company’s digital technologies authenticate people by performing strong, multi-factor biometric verification via its patented digital software platforms. To learn more, visit www.verifyme.com
Cautionary Note Regarding Forward-looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding revenue opportunities, the continuing demand from brand owners, expected future growth and enhancing shareholder value, which involve uncertainty and risk. The words “believe,” “may”, “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Important factors that could cause actual results to differ from those in the forward-looking statements include the Company’s ability to work with partners in selling its technologies to businesses, production difficulties, our inability to enter into contracts and deals with future partners, and issues which may affect the reluctance of large companies to change their purchasing of products, acceptance of our technologies, the efficiency of our authenticators in the field and our patents including potential litigation. Further information on our risk factors is contained in our filings with the SEC, including the Form 10-K for the year ended December 31, 2019. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.