SpendSmart Networks, Inc. (OTCPK:SSPC) announced a private placement of 9% convertible promissory notes for gross proceeds of $180,000 on July 19, 2016. The transaction included participation from Joseph Proto, Director, Member of Nominating & Corporate Governance Committee and Member of Compensation Committee, for $40,000, John H. Eyler, Director and Chairman of Compensation Committee, for $40,000, Francis J. Liddy, Director for $20,000, Isaac Blech, Vice Chairman and Chairman of Nominating & Corporate Governance Committee, for $40,000, and existing investor, Transpac Investments Ltd. for $40,000. The notes will have a maturity of six months and will bear interest at a rate of 9% per annum, payable on maturity. The notes will be subject to a mandatory conversion into an upcoming financing in the event the company closes the financing and receives gross proceeds totaling at least $200,000.