Vancouver, British Columbia, December 20, 2016
LED Medical Diagnostics Inc. ("LED" or the "Company") (TSX-V: LMD) announces that it is proposing a financing through the issuance of: (i) 12% senior secured debentures of the Company (the "LED Medical Debentures") in the aggregate amount of Cdn$150,000, maturing 24 months from the closing date of the financing (the "Closing Date"); and (ii) 12% senior secured debentures of LED Dental Inc. (the LED Dental Debentures), a wholly-owned direct subsidiary of the Company, in the aggregate amount of Cdn$650,000, maturing 24 months from the Closing Date (collectively, the LED Medical Debentures and the LED Dental Debentures, the "Debentures"). The Debentures will be issued to the Bloom Burton Healthcare Lending Trust II, as part of a non-brokered private placement. The LED Medical Debentures will be issued as units ("Units") consisting of: (i) LED Medical Debentures in the aggregate principal amount of Cdn$150,000; and (ii) a total of 320,000 common shares of the Company. The subscription price for the Units will be Cdn$150,000. The Company intends to grant a total of 1,380,000 common shares of the Company to Bloom Burton Healthcare Lending Trust II as a loan bonus in connection with the issuance of the LED Dental Debentures.
The Company intends to grant the common shares issued in connection with each Debenture as a loan bonus in accordance with Exchange Policy 5.1 of the TSX Venture Exchange (the "TSX-V"). The issuance of the Debentures and the common shares is subject to TSX-V acceptance.
The proceeds will be used by LED for working capital and general corporate purposes.
All securities, other than the LED Dental Debentures, issued in connection with the transaction will be subject to a hold period expiring four months and one day after the Closing Date. The LED Dental Debentures will be subject to a hold period expiring four months and one day after the later of: (i) the Closing Date; and (ii) the date that LED Dental Inc. becomes a reporting issuer under Canadian Securities laws in any province or territory of Canada.
About LED Medical Diagnostics Inc.
Founded in 2003 and headquartered in Vancouver, British Columbia, Canada, LED Medical Diagnostics Inc., through its wholly-owned subsidiaries LED Dental Inc. and LED Dental Ltd., provide dentists and oral health specialists with advanced diagnostic imaging products and software, in addition to the award-winning VELscope® Vx tissue fluorescence visualization technology. Backed by an experienced leadership team and dedicated to a higher level of service and support, LED Dental is committed to providing dental practitioners with the best technology available by identifying and adding leading products to its growing portfolio.
The Company is currently listed on the TSX-V under the symbol LMD, the OTCQX under the symbol "LEDIF", as well as the Frankfurt Stock Exchange under the symbol "LME". For more information, call 884.952.7327 or visit www.leddental.com/investor-relations
Phone: 905.326.1888 ext 10
David Gane, CEO
Phone: 604.434.4614 ext 227
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.