Liberated Energy, Inc. (OTCPK:LIBE.D) announced that it has entered into a securities purchase agreement for a private placement of one unsecured convertible promissory note with Auctus Fund, LLC, a fund managed by Auctus Fund Management, LLC for gross proceeds of $1,000,000 on September 20, 2019. The company will also issue warrants to the investor to purchase 174,703,602 shares of the company at a purchase price of $0.0056, excisable any time prior to September 20, 2024. The note carries prepaid feature and was issued at par. The note will carry fixed interest rate of 10%. The maturity date of the notes will be September 20, 2020. The note can be convertible into common shares of the company at a conversion price equal to the lesser of (i) the lowest trading price of the company’s common stock during the previous 30 trading day period ending on the latest complete trading day prior to the date of the note, and (ii) a variable conversion price equal to 42% multiplied by the lowest trading price for the company’s common stock during the 30 trading period ending on the latest trading day prior to the date of conversion of the note. The company paid $6,000 for investor’s legal expenses and $75,000 as due diligence fees, monitoring, and other transaction costs incurred in connection with the transaction.