Eguana Technologies Inc. has inked an agreement with Bayfront Capital Partners Ltd. to raise $1 million. The deal calls for the sale of 8.3 million common shares at $0.12 each.

The company has granted Bayfront an option to raise an additional $500,000, representing 4,166,666 Common Shares, on the same terms. The offering is expected to close on or about April 4, 2016.

Eguana plans to use the net proceeds for general working capital purposes.

Bayfront will be paid a cash commission of 7% of the gross proceeds and will be granted compensation options entitling the firm to purchase 7% of the number of common shares sold under the offering at an exercise price of $0.12 per Common Share for a period of 36 months from the closing date. The securities issued pursuant to the offering will be subject to a four month hold period.