Jammin Java Corp. (OTCPK:JAMN) announced that it has entered into an agreement with new investor, Duck Duck Spruce, LLC for a private placement of two 5% convertible promissory note for gross proceeds of $500,000 on March 8, 2016. The first note has a principal amount of $330,000 and the second note has a principal amount of $220,000 and will be issued at 10% original issue discount. The notes bear interest at a fixed rate of 5% per annum. The first note will mature on December 8, 2016 and the second note will mature on December 15, 2016. The notes can be repaid prior to the 180th day after issuance with a prepayment penalty of between 105% and 130% of the principal amount plus interest accrued. After the 180th day the notes cannot be repaid without the consent of the investor. The notes are convertible into common shares of the company after the 180th day after the issuance at the investor's option at a 35% discount to the average of the two lowest closing prices of company's shares during the 10 consecutive trading days prior to conversion date. The conversion of notes is subject to a floor price of $0.05 per share. The investor will not acquire more than 9.99% stake in the company upon conversion of the notes. The company will also issue 250,000 shares as the consideration to the investor with the second note. The company will issue securities pursuant to exemption provided under Regulation D. The company will pay all the fees and expenses in connection with the transaction.

On the same day, the company issued the first note for proceeds of $300,000.