Joey New York, Inc. (OTCPK:JOEY) announced a private placement of seven month convertible promissory note with an institutional investor for gross proceeds of $412,500 and investment agreement with investor for 10% convertible promissory note gross proceeds of $50,000 for aggregate gross proceeds of $462,500 on April 28, 2017. The seven month convertible promissory note can be converted at a fixed price of $1 per share, has a 10% original issue discount and bears fixed interest rate 10% per annum. The company issued a warrant for 50% warrant coverage with a cashless exercise price of $1.50 per share in connection with seven month convertible promissory note. The seven month convertible promissory note may be prepaid at the company's option at 110% from 0-90 days from closing, 120% at 91-135 days from closing, 130% at 136-180 days from closing. Thereafter prepayment requires lender approval. The 10% convertible promissory note issued at principal value, maturing seven months from the date of issuance. The 10% convertible promissory note has no registration rights and is convertible into the common stock of the company at $1.20 per share. On same date, the company received $125,000 as an initial funding from seven month convertible promissory note, with the balance funded 30 and 60 days post-closing upon mutual agreement. The company also issued 10% convertible promissory note.