IFAN Financial, Inc. (OTCBB:IFAN) announced a private placement of common shares in an equity line of credit for gross proceeds of not more than $2,000,000 with new investor, SBI Investments LLC, a fund managed by Sea Otter Global Ventures on May 14, 2015. The company has entered into a second securities purchase agreement with the investor. The investor is a qualified institutional buyer.

The equity line of credit commits the investor to purchase up to $2,000,000 of common shares following the effectiveness of the S-1 registration statement over the next 18 months. The purchase price shall be 80% of the average of the 3 lowest closing daily prices of the company's common shares during the 5 consecutive trading days prior to the date of the draw down notice from the company to investor or 85% of the price on the fifth trading day of the draw down pricing period. The amount for each purchase of the shares in draw down notices shall be equal to the lesser of $25,000 or 200% of the average daily volume of the company's common shares based on the trailing 10 trading days preceding the first day of the draw down notice period delivery by the company to the investor.

The draw down amount requested will not cause the aggregate holdings of investor in the company to be greater than 4.99% of the issued and outstanding shares of the company. These securities will be issued pursuant to Regulation D. The company will pay $15,000 to legal counsel of the investor.