ATX Group, Inc. announces entry into securities purchase agreement

Addentax Group Corp. announced that it has entered into a securities purchase agreement with certain accredited investors for the sale and issuance of a new series of senior secured convertible notes in the original principal amount of $16,666,666.66 and common stock purchase warrants purchase up to 16,077,172 shares of common stock of the company at an exercise price of $1.25 per share, subject to customary closing conditions. The net proceeds, after original issue discount will total $15M. The company expects to use the proceeds from the sale of the Notes for general corporate purposes, which may include, among other things, research and development, legal and accounting fees. Univest Securities, LLC served as the sole placement agent in the transaction.