Dynatronics completes $4M private placement

Dynatronics Corporation announced it has completed $4,025,000 private placement financing that will provide capital to promote organic growth and pursue possible strategic acquisitions.

The company plans to capitalize on health care trends to aid in the company’s growth, according to Stuart Essig, PhD, a managing partner at Prettybrook Partners LLC, which led the transaction.

The transaction is a structured sale of approximately 1.6 million shares of Series A 8% Convertible Preferred Stock and common stock purchase warrants to purchase approximately 2.4 million shares of common stock, according to a press release

Each share of preferred stock is convertible into one share of the company’s common stock and will accrue 8% cash or common equity dividend, compounded annually. The warrants have an exercise price of $2.75 and a term of 6 years. Additionally, the company has agreed to register the sales of share of common stock underlying the conversion of the preferred stock and exercise the warrants, according to the press release.

Source: www.dynatronics.com