Net Element, Inc., a technology-driven group specializing in mobile payments and value-added transactional services in emerging countries and in the United States, is pleased to announce that the Company completed the first closing of $11.2 million from a new investor, Cayman Invest, SA (“Cayman Invest”).
Cayman Invest has agreed to fund $11.2 million and in return the Company has issued to Cayman Invest, SA a note that is convertible at or before a maturity date of March 31, 2015 into 15% of the outstanding shares of Net Element. This investment by Cayman Invest is structured as a convertible debenture that does not accrue interest before the maturity date. The $11.2 million raise is part of a larger financing round totaling $30 million that the Company plans to complete this year.
“Net Element has demonstrated the viability of its business model and the value-added nature of its disruptive technologies in the financial services technology sector. We expect Net Element’s service offerings to be key enablers for the growth in cashless transactions in the emerging markets,” said Anvar Mametov, Managing Director of Cayman Invest. “We are delighted to support the Company in further developing and globally scaling the business.”
Oleg Firer, CEO of Net Element commented, “I am pleased to announce this relationship with Cayman Invest as we execute an aggressive growth strategy with the proceeds from this capital raise.” Firer continued, “We are dedicated to building shareholder value and this transaction provides the Company with critical expansion capital from a committed and highly valued international investor.”
