Migo signs term sheet for $5 million financing

By Devika Patel

Knoxville, Tenn., March 24 - Migo Software, Inc. has entered into a term sheet for a proposed $5 million financing, according to an 8-K filed Monday with the Securities and Exchange Commission.

The financing would create a senior class of preferred stock with warrant coverage, and the investors would receive more than 90% of the company's stock on a fully diluted basis.

The term sheet would require that Migo's outstanding junior A preferred shares and its series B preferred stock convert into common stock and that existing warrant holders agree to waive the anti-dilution clauses of their warrants.

The company also must begin a 1-for-15 reverse stock split, which already has been authorized by stockholders.

Redwood, Calif.-based Migo Software, formerly PowerHouse Technologies Group, Inc., is a provider of mobile data and communications software.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.