Pond Technologies Holdings Inc. Announces Proposed Extension of Expiry Date of Certain Warrants

Rhea-AI Summary

Pond Technologies Holdings Inc. (OTCQB: PNDHF) announced plans to amend the expiry date of 2,742,504 common share purchase warrants initially issued during private placements in June 2019. The current expiration terms allow for expiry either 30 days after the share price exceeds $1.25 for 10 consecutive days or two years after issuance. The proposed amendment would extend the expiry date to December 15, 2021, pending acceptance by the TSX Venture Exchange. These warrants exclude those issued to agents or brokers, highlighting the company's strategic financial moves amid its sustainability initiatives.

Positive

• Amendment extends the expiry date of warrants, potentially increasing financial flexibility.
• Strengthens liquidity by allowing more time for warrant holders to exercise their options.

Negative

• The need to extend the expiry date may indicate challenges in achieving the required share price of $1.25.
• Potential dilution risk for existing shareholders if warrants are eventually exercised.

MARKHAM, ON / ACCESSWIRE / May 25, 2021 / Pond Technologies Holdings Inc. (the "Corporation" or "Pond") (TSX.V:POND), (OTCQB:PNDHF) an ESG company addressing global sustainability challenges of climate change and nutrition, announces its intention to amend the expiry date of an aggregate of 2,742,504 common share purchase warrants ("Warrants") that were originally issued pursuant to a private placement of units that closed on June 11, 2019 and June 14, 2019 and that have an exercise price of $1.00 per share.

The Warrants currently expire on the earlier of (i) 30 days after the date on which the Corporation gives notice to the holders of the Warrants after the common shares have traded at a closing price of greater than $1.25 per common share for 10 consecutive trading days on the TSXV and (ii) the date that is two years after the date that the Warrants are issued. The amendment would extend the expiry date in clause (ii) above to December 15, 2021.

The Warrants that are subject to the proposed amendment do not include Warrants issued to agents, brokers or finders and the amendment remains subject to acceptance by the TSX Venture Exchange.

About Pond Technologies Holdings Inc.:

Located in Markham, Ontario, Pond is a technology company that provides profitable solutions to the global health and wellness challenges of climate change and nutrition. Pond's proprietary growth platform, including patented advanced photonics, optimizes key growth inputs in order to provide a controlled environment that maximizes the growth of algae and other organisms. This enables industrial emitters to generate new revenue streams from the transformation of underutilized CO₂ to valuable algae-based products, such as protein for animal feed and nutraceutical products like Chlorella, Spirulina, and Astaxanthin for human consumption. For more information visit https://www.pondtech.com/.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

For further information contact: Grant Smith, Chief Executive Officer, at g.smith@pondtech.com, 416-287-3835 ext. 201; or Cole Stevens at c.stevens@pondtech.com

SOURCE: Pond Technologies Holdings Inc.

View source version on accesswire.com:
https://www.accesswire.com/648983/Pond-Technologies-Holdings-Inc-Announces-Proposed-Extension-of-Expiry-Date-of-Certain-Warrants

FAQ

What is Pond Technologies Holdings Inc.'s plan for the warrants expiring in 2021?

Pond Technologies intends to extend the expiry date of 2,742,504 warrants to December 15, 2021.

What are the current expiry terms for the warrants of PNDHF?

Currently, the warrants expire either 30 days after the share price exceeds $1.25 for 10 consecutive trading days or two years from issuance.

Why is Pond Technologies extending the expiry date of its warrants?

The amendment aims to provide flexibility and potentially improve the company's liquidity.

Who is affected by the warrant expiry amendment?

The amendment affects holders of the 2,742,504 common share purchase warrants issued in June 2019.

When was the announcement regarding the warrants made?

The announcement was made on May 25, 2021.

What is the significance of the warrant amendment for PNDHF shareholders?

The amendment could delay potential dilution of shares, allowing time for the share price to meet the exercise criteria.