OTTAWA, Nov. 28, 2014 /CNW/ - Magor Corporation ("Magor" or the "Company") (TSX-V: MCC), a technology leader in visual collaboration solutions, is providing an update on its previously announced private placement of debentures (the "Financing"). The Company announced on September 5, 2014 that it intended to complete a non-brokered private placement of subordinated secured debentures in the aggregate maximum gross proceeds of up to $3,000,000 (the "Offering") in units (the "Units"). Furthermore, in the press release of October 2, 2014, the Company announced that it closed the first tranche of this Financing in the amount of $1,525,000. On October 22, 2014, the Company announced that the Financing was ongoing with the closing of the second tranche expected to occur within the third week of November 2014. Further to these press releases, the Financing is ongoing with the second tranche expected to close by mid-December 2014.

Each Unit consists of a $1,000 par value senior secured debenture (the "Debentures") and 500 common share purchase warrants (each a "Warrant"). The Debentures shall mature three (3) years from the date of issuance, unless redeemed at 102.0%, at the option of the Company or unless converted into common shares of Magor at the conversion rate of $0.30 per common share. The Warrants are exercisable at a price of $0.44 for a period of three (3) years. The Debentures shall bear interest at an annual rate of 12% of par value, payable every six (6) months in arrears in cash.

All securities issued pursuant to the Offering (and any underlying securities) will be subject to a statutory four (4) month hold period, commencing as at the closing date of the Offering.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, or for an account or benefit of U.S. persons (as such term is defined in Regulation S under the United States Securities Act of 1933, as amended).

About Magor Corporation:
Magor develops and markets visual collaboration software for a world that increasingly rewards those who can bring together the right people and information at the right time. Magor's Aerus service delivery platform removes the limitations of traditional video conferencing and collaboration tools to provide entirely new ways of interacting with video with the goal of creating new ways to be productive. To find out more about Magor Corporation (TSX-V: MCC), visit our website at http://www.magorcorp.com.

Disclaimer in regards to Forward-looking Statements

Certain statements included herein constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward looking statements. Except as required by law, Magor does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.

Neither 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.

SOURCE Magor Corporation

Copyright 2014 Canada NewsWire

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