World Moto Inc. (OTCBB:FARE) announced that it has entered into a securities purchase agreement for a private placement of 12% senior secured convertible debentures due 2015 for gross proceeds of $1,000,000 on April 4, 2014. The debentures will carry a total principal aggregate value of $1,086,756 and will be issued at 8% discount of the principal amount. The debentures will be issued in two tranches of principal amount of $543,378 each. The debentures accrue fixed interest at the rate of 12% annually and have a maturity date of April 4, 2015. The debentures will be issued to new accredited investors Dominion Capital LLC and Redwood Management, LLC. The company will make amortization payments beginning on the six month anniversary of the issuance date of the debentures and continuing monthly thereafter. The debentures are convertible into shares of common stock at any time at the discretion of the investors at a variable conversion price equal to the lesser of $0.10 per share or 70% of the lowest traded price per share of the common stock during the 25 trading days prior to the date of conversion. The company will issue the securities pursuant to exemption provided under Regulation D. The company will issue the securities within 30 business days of the offer period. Mark C. Lee from Greenberg Traurig, LLP will act as legal counsel to the company. Aegis Capital Corp. will act as a placement agent to the company for the transaction. The agent will be paid a cash commission of 7.5% of the gross proceeds and an equity commission of 7.5% of the aggregate principal amount of the gross receipts on an as-converted basis as of each closing date, as applicable, at 150% of the applicable conversion price. As part of the transaction, the company agreed to reimburse the investors for attorney's fees in the amount of $20,000 of which $5,000 has been paid prior to the signing of this agreement and reimburse the purchasers in the amount of $10,000 for due diligence expenses. As part of the transaction, no brokerage or finder's fees or commissions are or will be payable by the company or any subsidiaries to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other person. The agreement may be terminated by the purchasers by written notice if the first tranche is not closed on April 4, 2014. The company will pay all transfer agent fees, stamp taxes, and other taxes and duties levied as part of the transaction.

On the same date, the company has received $500,000 in funding from two investors in first tranche. The company will receive the second tranche of $500,000 within three business days after the effective date of the registration statement.

On December 11, 2014, World Moto Inc. closed the transaction. The company has received $500,000 in funding from accredited investors in its second tranche. The debentures issued in second tranche have a principal value of $543,378 and will mature on of December 11, 2015.