Prospectus Filed Pursuant to Rule 424(b)(3) (424b3)
July 01 2016 - 9:02AM
Edgar (US Regulatory)
Filed
Pursuant to Rule 424(b)(3)
Registration
No. 333-202787
Prospectus
Supplement No. 9 dated July 1, 2016
(To
Prospectus dated May 12, 2015)
17,949,841
Shares
Common
Stock
This
Prospectus Supplement supplements and amends the Prospectus dated May 12, 2015 (the “Prospectus”), relating to the
resale of up to 17,949,841 outstanding shares of common stock of Iveda Solutions, Inc. (the “Company”) by the selling
stockholders identified in the Prospectus.
This
Prospectus Supplement includes information set forth in our Forms 8-K filed by the Company with the Securities and Exchange Commission
on June 30, 2016. The Form 8-K is attached hereto.
This
Prospectus Supplement is not complete without, and may not be delivered or utilized except in connection with the Prospectus,
including any supplements and amendments thereto. This Prospectus Supplement should be read in conjunction with the Prospectus,
which is to be delivered with this Prospectus Supplement. This Prospectus Supplement is qualified by reference to the Prospectus,
except to the extent that the information in this Prospectus Supplement updates or supersedes the information contained in the
Prospectus, including any supplements and amendments thereto.
See
“Risk Factors” beginning on page 5 of the Prospectus to read about factors you should consider before buying shares
of our common stock.
Neither
the Securities and Exchange Commission nor any other regulatory body has approved or disapproved of these securities or passed
upon the accuracy or adequacy of the Prospectus. Any representation to the contrary is a criminal offense.
The
date of this Prospectus Supplement is
July 1, 2016.
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date
of Report (Date of Earliest Event Reported): June 30, 2016 (June 30, 2016)
IVEDA
SOLUTIONS, INC.
(Exact
name of registrant as specified in its charter)
Nevada
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000-53285
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20-2222203
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(State
or other jurisdiction
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(Commission
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(IRS
Employer
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of
incorporation)
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File
Number)
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Identification
No.)
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460
S. Greenfield, Suite 5, Mesa, Arizona 85206
(Address
of principal executive offices) (Zip Code)
(
480)
307-8700
(Registrant’s
telephone number)
Check
the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant
under any of the following provisions:
[ ]
Written communications pursuant to Rule 425 under the Securities Act ( 1 7 CFR 230.425)
[ ]
Soliciting material pursuant to Rule 14a-12 under the Exchange Act ( 17 CFR 240. l 4a-12)
[ ]
Pre-commencement communications pursuant to Rule I 4d-2(b) under the Exchange Act (17 CFR 240. l 4d-2(b))
[ ]
Pre-commencement communications pursuant to Rule l 3e-4(c) under the Exchange Act ( 17 CFR 240.13e-4( c))
Item
3.02. Unregistered Sales of Equity Securities
On
June 30, 2016, Iveda Solutions, Inc. (the “Company”) completed a strategic investment transaction with Ly Chau Lam,
the new majority owner of Iveda Vietnam, the Company’s exclusive reseller in Vietnam. The Company, for cash consideration
of $500,000 sold 628,571 shares of its unregistered common stock, $0.00001 pa r value per share and a warrant exercisable at $0.35
per share to purchase 800,000 shares of its unregistered common stock to Ly Chau Lam with a 5-year term. The 628,571 million shares
were sold pursuant to the exemption from registration provided by Section 4(2) of the Securities Act of 1933, as amended, and
Rule 506 and Regulation D promulgated thereunder, as a sale to a single, private, accredited investor. The shares were acquired
for investment and are restricted.
As
the majority owner of the Company’s exclusive reseller in Vietnam, Ly Chau Lam will be funding the working capital requirements
for deposits and final payment before shipment of hardware purchases from the Company. The Company purchases this hardware through
its contract manufacturing relationships in Asia. This working capital is key in facilitating business with large telecom customers
on terms acceptable in Vietnam.
In
November 2015 the Company signed an agreement with Nguyen Business & Investment Co., Ltd. as its exclusive reseller in Vietnam.
The Company received an initial deposit of $50,000 against a committed $1,000,000 prepaid Sentir
license to be paid
in full on or before December 15, 2015. Nguyen Business & Investment Co., Ltd. had formed Iveda Vietnam CO., LTD (“Iveda
Vietnam”) to be the operating entity to license the Sentir
platform and purchase hardware such as the Company’s
ZEE plug and play cameras and IvedaHome cloud automation system. The Company had received $250,000 by December 31, 2015 from Iveda
Vietnam against the $1,000,000. The Company has been working with Iveda Vietnam for several months as they restructured to become
properly funded by adding the new majority owner.
Iveda
Vietnam is reselling the prepaid Sentir licenses to telecommunications, datacenter and manufacturing customers in Vietnam, some
of which the Company have previously announced contracts. Iveda Vietnam will facilitate finance, logistics and routine customer
service aspects of the Company’s relationships with the largest telecommunications customers in Vietnam.
Prior
to the closing of the strategic investment of Ly Chau Lam, Iveda Vietnam had paid $435,000 to the Company, of which $50,000 was
allocated to Sentir server hardware shipped in December 2015 and $385,000 to prepaid license fees. In conjunction with the $500,000
strategic investment from Ly Chau Lam into the Company, the Company agreed to amend the exclusive reseller agreement to accept
the $435,000 payment as full execution of the terms of the agreement. Iveda will grant the founder of Iveda Vietnam, Tung Nguyen,
a five-year warrant to purchase 300,000 shares of the Company’s common stock at $1.00 per share.
SIGNATURES
In
accordance with the requirements of the Exchange Act, the Registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
Dated:
June 30, 2016
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Iveda
Solutions, Inc., a Nevada corporation
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/s/
Robert J. Brilon
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Robert
J. Brilon, President and CFO
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