AirIQ Inc. (TSXV:IQ) announced a non brokered private placement for gross proceeds of CAD 485,000 December 12, 2013. The company will issue 7,700,000 common shares at CAD 0.05 per share for gross proceeds of CAD 385,000 and receive CAD 100,000 as loan from existing investor Mosaic Capital Partners. The loan will bear 1 15% interest and will mature in 18 months from the date of issuance. The company will issue warrants to purchase 500,000 shares of the company at an exercise price of CAD 0.05 per share for a period of 10 years. The company will pay a placement fee of CAD 5,000 to Mosaic Capital Partners. The company anticipated participation from insiders for more than 25% of the transaction. The securities to be issued in the transaction will be subject to a hold period of four months from the date of closing.


On December 17, 2013, AirIQ Inc. closed the transaction. The company issued a warrant to purchase 700,000 shares till December 17, 2018. The transaction included participation from 17 placees. As a part of the transaction, existing investors Mosaic Capital Partners acquired 1,000,000 shares and 2204671 Ontario Inc acquired 2,810,000 shares in the transaction. As part of the transaction, Vernon Lobo from Kilimanjaro Capital Inc. subscribed for 169,000 shares, Michael Robb from MR Accounting & Bookkeeping Inc. subscribed for 306,000 shares, and Karen Felstead subscribed for 210,000 shares. Upon completion of the transaction, 2204671 Ontario Inc owns a 19.8% stake and Mosaic Capital Partners holds a 19.99% stake in the company.