Diversified Resources Inc. (OTCPK:DDRI) announced that it will receive $1,000,000 in a round of funding on June 1, 2015. The company will issue secured convertible notes and warrants in the transaction. The company will issue securities pursuant to exemption provided under Regulation D. The minimum investment accepted from any outside investor is $50,000. The convertible notes carries a fixed coupon of 12% per annum and would mature between March and April 2017.

On the same date, the company announced that it has received $650,000 in its first tranche from four accredited investors. The board of directors approved the sale of convertible notes in the principal amount. The interest will pay on quarterly beginning 6/1/2015 and thereafter within 10 days of the quarterly interest payment dates. At any time prior to the payment in full of this note, all or any part of the outstanding principal amount of this note, plus any accrued interest may be converted, one time only, for new securities offered by the company. The company also issued warrants to purchase 130,000 common shares at an exercise price of $0.80 per share and expire between March and April of 2017.