Seamless Distribution AB: The Board of Directors’ of Seamless Has Resolved on a Directed Issue of Convertible Debentures

Regulatory News:

Seamless Distribution AB (STO:SEAM)

The board of directors’ of Seamless Distribution AB (publ) ("Seamless”) has, pursuant to to an authorisation granted by the latest annual general meeting, resolved on a directed issue of convertible debentures. The offering was fully subscribed, whereupon Seamless has issued convertible debentures of SEK 42 million to private and institutional investors who have been identified by Evli Bank Plc.

The convertible loan amounts to a nominal value of SEK 42 million and carries interest at an annual rate of seven (7) per cent which shall be paid every quarter. The convertible debentures have been subscribed at a value corresponding to 100 per cent of the nominal value and the conversion price has been set to SEK 9 based on a book building process to private and institutional investors completed in August 2016.

"This convertible refinances a previous convertible debentures that was not converted into shares”, says Peter Fredell, CEO of Seamless.

The issue has been implemented with deviation from the shareholders’ preferential rights and the right to subscribe for the convertible debentures was only granted to a limited number of private and institutional investors who have been identified through a book-building process, arranged by Evli Bank Plc. The reason for the deviation from the shareholders’ preferential right was that the company is in need of financing of operations and a directed issue of convertible debentures has been deemed to be the fastest and the most favourable way to obtain such financing for the company. The convertible loan will mature 364 days after the date of issue, unless conversion or distribution has occurred prior to this date. The issue brought SEK 42 million to Seamless. The payment for the convertible debentures shall be made in cash in connection with the subscription, or such later date as the board of directors resolves.

The issue of convertible debentures will entail, upon full conversion, a dilution for the current shareholders of Seamless of approximately 7.36 per cent after full dilution.

About Seamless

Seamless is one of the world's leading providers of mobile phone payment systems and handles more than 3.9 billion transactions each year via 525,000 active sales outlets. Combined with more than eleven years' experience and a presence in about 30 countries, this gives Seamless a strong position in the mobile phone payment market. It is the company's unique transaction platform that makes SEQR possible. Seamless is traded on Nasdaq Stockholm, under the SEAM ticker.

www.seamless.se

About SEQR

SEQR, developed by Seamless, is the fastest and easiest mobile payments solution currently available on the market. All customers need to do is use the SEQR app to scan the QR/NFC code at the POS terminal and approve the payment by entering their PIN. SEQR works just as well for physical transactions as for e-commerce, and is both faster and more secure than card payments. The technology behind the solution means that there is no investment cost for retailers. All that is required is a QR/NFC code sticker at the POS terminal. In addition, the low transaction charges allow the retailer to save money.

www.seqr.se – Twitter: @seqrse (https://twitter.com/SEQRse) – facebook.com/seqrse (https://www.facebook.com/SEQRse)

This information is information that Seamless Distribution AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the contact person set out above, at 08.50 a.m. CET on August 30, 2016.

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