OTTAWA, Ontario� �International Datacasting Corp. has completed a non-brokered private placement of $906,000 aggregate principal amount of secured notes. A group of senior executives has agreed to fund 40 percent of the Notes, with the remaining 60 percent provided by subscribers who are not insiders.
This Private Placement provides interim financial support as part of a revised business plan for IDC, which includes a leaner organizational structure, and focusing on leveraging market potential for IDC�s Laser product line. Prior to the closing of the Private Placement, the amounts owing under the promissory note issued to Pico Digital Inc. were repaid. The proceeds from the Private Placement will be used for general working capital purposes. �
Following the board�s approval, the new leadership team is in the process of implementing a plan that is expected to result in breakeven results at a much lower revenue base.
�IDC intends to proceed with another offering in the near term to provide existing shareholders an opportunity to make a further investment in IDC at attractive market valuation,� said Chairman of the IDC Board of Directors Chris Van Staveren. �This will also provide IDC with a more sustainable capital level to fund its anticipated business growth.�
Additionally, the board promoted Chris Barrett and Steeve Huin as Co-CEOs of IDC. Barrett was formerly the vice president of Engineering and Operations, and Huin was the VP of Products and Services. Both have been on the leadership team during the past two years and made contributions to the Laser MPS product line. Additionally, Steven Archambault was promoted to executive vice president; he will continue to serve as chief financial officer, as well as a non-independent director on the IDC board of directors and Glenn McDougall as an independent director.
Archambault and McDougall fill the vacancies left on the board as a result of the previously announced resignation of David Charron and the resignation of Doug Lowther effective July 2, 2015. Lowther has also resigned as CEO and president of the company and will be available to assist the board and management team as required with the transition.
Since 2001, McDougall has been managing partner with Doyletech Corporation, a management consulting firm focused on public and private technology-based organizations. He is also the president of Green Avenue Ventures Inc., and a founding partner in Class 5 Holdings Limited. He participated in the Private Placement.�