Location Based Technologies, Inc. (OTCBB:LBAS) announced a private placement of an secured convertible promissory note for gross proceeds of $500,000 on August 29, 2013. The note will bear interest at 10% per annum and will mature on September 30, 2015. The note will be convertible into common shares of the company at a conversion price of $0.20 per share. The company also issued warrants to the investor to purchase up to 1,000,000 common shares of the company at an exercise price of $0.20 per share for a period of three years from the date of issuance. The transaction involved participation from David Meyers, a board member of the company. The company and the investor shall pay all of their own costs and expenses incurred with respect to the transaction.

On August 29, 2013, Location Based Technologies, Inc. closed the transaction.