PositiveID Corporation (OTCPK:PSID) announced that it has entered into a material definitive agreement with existing investor Apollo Management Group, LLC for a private placement of a convertible note for gross proceeds of $75,000 on February 19, 2018. The note carries a fixed interest of 12% and will mature on February 19, 2019. The note has been issued at par.

Following any event of default, interest shall accrue at a rate equal to the lesser of 24% per annum or the maximum interest permitted by law. The note may be converted by the investor at any time into common shares of the company at a 37.5% discount to the lowest price of the common stock for the 15 prior trading days including the day upon which a notice of conversion is received by the company. If default is made in the payment of the note, the company shall pay the investor hereof costs of collection, including reasonable attorneys' fees.

The note was issued pursuant to exemption provided under Regulation D. The note will be prepaid for an amount equal to 105% of all outstanding principal and interest due on each outstanding note in one payment within 90 calendar days from the execution of the note, after 90 calendar days from the execution of the note and within 180 days from execution for 105% of all outstanding principal and interest due on each outstanding note in one payment. After 180 days from the date of execution the note, the note shall only be prepaid upon written approval from the holder.