LKA Gold Incorporated (OTCPK:LKAI) announced a private placement of two 7.5% convertible notes at a price of $125,000 per note for the gross proceeds of $250,000 on September 29, 2015. The transaction included participation from existing investor members of Koski Family Limited Partnership. The notes carry a fixed coupon of 7.5% per annum and would mature three years from closing.

The note is convertible into common shares of the company at a fixed conversion price of $0.50 per share. The company paid cost on debt issuance of $12,500. The company intends to continue the transaction for more than one year.

The minimum investment accepted from any outside investor is $1,000.