CALGARY, AB –
CanadaBis Capital Inc. closed the final tranche of its previously announced brokered private placement of 11% unsecured convertible debentures at a price of $1,000 per Debenture. Closing of this final tranche consisted of the issuance of 1,415 Debentures for aggregate gross proceeds of $1,415,000. Over the two tranches, the total Financing raised aggregate gross proceeds of $4,035,000. Research Capital Corporation acted as the sole agent and sole bookrunner in connection with the Financing.
The Debentures bear interest at a rate of 11.0% per annum from the date of issue, payable quarterly in arrears. Interest shall be paid in cash or common shares of the Company at the Company’s sole discretion, subject to Exchange approval. The Debentures will mature on April 2, 2029.
The principal amount of each Debenture shall be convertible, at the option of the holder, for no additional consideration, into Common Shares, following August 3, 2025, and prior to the Maturity Date at a Conversion Price equal to $0.10 per Common Share, subject to customary adjustments. The Debentures will be repaid in cash at the Maturity Date.
On and following September 2, 2025, CanadaBis shall have the right to either partially or fully redeem the outstanding Debentures in cash at 105% of the outstanding principal amount of the Debenture at the time of redemption, plus accrued interest in cash, provided, however, that if the Debentures are redeemed before being outstanding for six (6) months, CanadaBis shall pay the holder all accrued and unpaid interest, plus an additional amount to ensure the holder receives at least six (6) months of interest on the principal amount being redeemed, net of any interest already paid. The Debentures will be subject to a statutory hold period of four months and one day following the issuance date.
CanadaBis paid to the Agent an aggregate amount equal to $44,425 consisting of the Agent’s fee and an advisory fee. As additional consideration for the services of the Agent, on the closing of this final tranche of the Financing, CanadaBis granted: (i) an aggregate of 30,000 broker warrants to the Agent; and (ii) an aggregate of 394,500 advisory warrants. Each Compensation Option entitles the holder thereof to acquire one Common Share at an exercise price equal to $0.10 for a period of 48 months following the date hereof.
About CanadaBis Capital Inc.
CanadaBis (TSXV: CANB) is a vertically integrated Canadian cannabis licensed producer. CanadaBis focused on achieving large-scale growth in the global cannabis market – with specific attention paid to supplying the fast-emerging concentrates category through their Stigma Grow cultivation and BHO extraction facility.
