Xebra Brands Announces Non-Brokered Private Placement and Concurrent Debt Settlement
Xebra Brands (CSE:XBRA) has announced a non-brokered private placement offering of up to 3,000,000 units at $0.05 per unit, aiming to raise gross proceeds of up to $150,000. Each unit consists of one common share and one-half warrant, with each full warrant exercisable at $0.10 for 24 months.
Additionally, the company plans to settle $450,000 in accrued liabilities through the issuance of up to 9,000,000 common shares at $0.05 per share to officers, directors, consultants, and service providers. The closing of both transactions is expected around January 30, 2025.
The proceeds will be used for general corporate and working capital purposes. Company insiders are expected to participate in both transactions, which qualify as related party transactions under MI 61-101, though exemptions from formal valuation and minority shareholder approval requirements are expected to apply.
Xebra Brands (CSE:XBRA) ha annunciato un'offerta di collocamento privato non mediato fino a 3.000.000 di unità a $0,05 per unità, con l'obiettivo di raccogliere proventi lordi fino a $150.000. Ogni unità è composta da un'azione ordinaria e mezza opzione, con ogni opzione intera exercitabile a $0,10 per 24 mesi.
Inoltre, l'azienda prevede di saldare $450.000 in passività accumulate tramite l'emissione di fino a 9.000.000 di azioni ordinarie a $0,05 per azione a funzionari, direttori, consulenti e fornitori di servizi. La chiusura di entrambe le transazioni è prevista intorno al 30 gennaio 2025.
I proventi verranno utilizzati per scopi generali aziendali e di capitale circolante. Si prevede che i membri interni dell'azienda partecipino a entrambe le transazioni, che qualificano come transazioni con parti correlate ai sensi di MI 61-101, anche se ci si aspetta che si applicano esenzioni dai requisiti di valutazione formale e di approvazione degli azionisti di minoranza.
Xebra Brands (CSE:XBRA) ha anunciado una oferta de colocación privada no mediada de hasta 3,000,000 de unidades a $0.05 por unidad, con el objetivo de recaudar ingresos brutos de hasta $150,000. Cada unidad consta de una acción ordinaria y media garantía, con cada garantía completa que se puede ejercer a $0.10 durante 24 meses.
Además, la compañía planea liquidar $450,000 en pasivos acumulados a través de la emisión de hasta 9,000,000 de acciones ordinarias a $0.05 por acción a funcionarios, directores, consultores y proveedores de servicios. Se espera que el cierre de ambas transacciones ocurra alrededor del 30 de enero de 2025.
Los ingresos se utilizarán para propósitos corporativos generales y de capital de trabajo. Se espera que los miembros internos de la empresa participen en ambas transacciones, las cuales califican como transacciones con partes relacionadas bajo MI 61-101, aunque se espera que se apliquen exenciones de los requisitos de valoración formal y aprobación de accionistas minoritarios.
Xebra Brands (CSE:XBRA)는 중개인이 없는 사모 배정을 통해 최대 3,000,000개의 유닛을 유닛당 $0.05에 제공한다고 발표했습니다. 이를 통해 최대 $150,000의 총 수익을 올릴 계획입니다. 각 유닛은 하나의 보통주와 절반의 워런트로 구성되며, 각 전체 워런트는 24개월 동안 $0.10에 행사할 수 있습니다.
또한, 회사는 임원, 이사, 상담자 및 서비스 제공자를 위해 주당 $0.05의 가격으로 최대 9,000,000개의 보통주를 발행하여 $450,000의 누적 부채를 정산할 계획입니다. 두 거래 모두의 마감은 2025년 1월 30일 경에 이루어질 것으로 예상됩니다.
수익금은 일반 기업 및 운영 자본 목적으로 사용될 예정입니다. 회사 내부자들이 두 거래 모두에 참여할 것으로 예상되며, 이는 MI 61-101에 따라 관련 당사자 거래로 분류됩니다. 그러나 공식 평가 및 소수주주 승인 요건에 대한 면제가 적용될 것으로 예상됩니다.
Xebra Brands (CSE:XBRA) a annoncé une offre de placement privé non-intermédié allant jusqu'à 3 000 000 d'unités à 0,05 $ par unité, visant à lever des fonds bruts allant jusqu'à 150 000 $. Chaque unité se compose d'une action ordinaire et d'un demi-warrant, chaque warrant complet pouvant être exercé à 0,10 $ pendant 24 mois.
De plus, la société prévoit de régler 450 000 $ de dettes accumulées par l'émission de jusqu'à 9 000 000 d'actions ordinaires à 0,05 $ par action pour des dirigeants, directeurs, consultants et prestataires de services. La clôture des deux transactions est attendue aux alentours du 30 janvier 2025.
Les recettes seront utilisées à des fins de capital général et de fonds de roulement. Il est prévu que des initiés de l'entreprise participent aux deux transactions, qui sont considérées comme des transactions entre parties liées en vertu de MI 61-101, bien que des exemptions aux exigences d'évaluation formelle et d'approbation des actionnaires minoritaires devraient s'appliquer.
Xebra Brands (CSE:XBRA) hat eine nicht vermittelte Privatplatzierung von bis zu 3.000.000 Einheiten zu je $0,05 pro Einheit angekündigt, mit dem Ziel, Bruttoeinnahmen von bis zu $150.000 zu erzielen. Jede Einheit besteht aus einer Stammaktie und einem halben Warrant, wobei jeder volle Warrant für 24 Monate zu $0,10 ausübbar ist.
Darüber hinaus plant das Unternehmen, $450.000 an aufgelaufenen Verbindlichkeiten durch die Ausgabe von bis zu 9.000.000 Stammaktien zu je $0,05 pro Aktie an Führungskräfte, Direktoren, Berater und Dienstleistungsanbieter zu begleichen. Der Abschluss beider Transaktionen wird um den 30. Januar 2025 erwartet.
Die Einnahmen werden für allgemeine Unternehmens- und Betriebsmittel verwendet. Es wird erwartet, dass Unternehmensinsider an beiden Transaktionen teilnehmen, die als Transaktionen mit nahestehenden Parteien gemäß MI 61-101 gelten, wobei jedoch Ausnahmen von den formalen Bewertungs- und Genehmigungspflichten der Minderheitsaktionäre gelten dürften.
- Debt reduction of $450,000 through equity conversion preserves cash for operations
- Additional working capital of $150,000 through private placement
- Significant shareholder dilution through issuance of up to 12 million new shares
- Low share price of $0.05 indicates potential financial distress
- Reliance on equity-based financing suggests cash flow challenges
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES
VANCOUVER, BC / ACCESS Newswire / January 22, 2025 / Xebra Brands Ltd. ("Xebra" or the "Company") (CSE:XBRA)(OTCQB:XBRA)(FSE:9YC0), a cannabis company, announces that it intends to complete a non-brokered private placement in the aggregate amount of up to 3,000,000 units of the Company (each, a "Unit") at a price of
Each Unit will consist of one common share of the Company (a "Common Share") and one-half of one Common Share purchase warrant (a "Warrant"). Each Warrant will entitle the holder thereof to acquire one Common Share (a "Warrant Share") at an exercise price of
The Company also announces that it intends to settle up to a total of
It is expected that the closing of the Offering and the Debt Settlement will be on or about January 30, 2025, or such other date or dates that Xebra may determine. The net proceeds to be received by the Company from the Offering are intended to be used for general corporate and working capital purposes.
The Offering and the Debt Settlement are subject to the receipt of all regulatory approvals, including the approval of the Canadian Securities Exchange.
Certain directors and officers of the Company (the "Insiders") are expected to participate in the Offering and the Debt Settlement. Accordingly, the issuance of Units under the Offering and Common Shares under the Debt Settlement to the Insiders will constitute a "related party transaction" as such term is defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). Xebra expects to rely on exemptions from the formal valuation and minority shareholder approval requirements provided under MI 61-101 pursuant to section 5.5(b) and section 5.7(1)(b) of MI 61-101.
The securities issued under the Offering have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and were not to be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful.
ABOUT XEBRA
Xebra Brands Ltd. is an international leading cannabis company dedicated to providing high-quality CBD products to consumers around the world. With a focus on compliance, quality, and innovation, Xebra is committed to leading the way in the CBD industry.
Rodrigo Gallardo
Interim CEO and director
For more information contact:
+1 (833) XEBRA 88
ir@xebrabrands.com
Cautionary Note Regarding Forward-Looking Information
Certain information contained in this press release constitutes forward-looking statements under applicable securities laws. Any statements that are not statements of historical fact may be deemed to be forward-looking statements, these include, without limitation, statements regarding Xebra Brands Ltd.'s expectations in respect of its ability to successfully execute its business plan or business model; its ability to close the Offering and the Debt Settlement, the size and terms of the Offering and the Debt Settlement, its expected use of the net proceeds of the Offering, the ability to obtain the necessary shareholder and regulatory approvals from the applicable securities regulators or obtain the approval of the Canadian Securities Exchange in connection with the Offering and the Debt Settlement; its ability to enter into and execute partnerships or joint venture opportunities on acceptable terms; its ability to provide economic, environmental, social, or any benefits of any type in the communities it operates in or may operate it in the future; its ability to be a first mover in a country, or to obtain or retain government licenses, permits or authorizations in general, or specifically in Mexico, Canada, or elsewhere, including cannabis authorizations from the Mexican Health Regulatory Agency (COFEPRIS); its ability to satisfy the conditions of authorizations granted by COFEPRIS; its ability to successfully apply for, obtain and retain trademarks and other intellectual property in any jurisdiction; its ability to be cost competitive; its ability to commercialize, cultivate, grow, or process hemp or cannabis in Mexico, Canada, or elsewhere and related plans and timing; its ability to manufacture, commercialize or sell cannabis-infused beverages, wellness products, or other products in Mexico, Canada, or elsewhere, and its related plans and claims, including market interest and availability; its ability to create wellness products that have a therapeutic effect or benefit; plans for future growth and the direction of the business; plans to increase product volumes, the capacity of existing facilities, supplies from third party growers and contractors; expected growth of the cannabis industry generally; management's expectations, beliefs and assumptions in general, including manufacturing costs, production activity and market potential in Mexico or any jurisdiction; events or developments that Xebra expects to take place in the future; general economic conditions; and other risk factors described in the Company's continuous disclosure documents available on SEDAR+. All statements, other than statements of historical facts, are forward-looking information and statements. The words "aim", "believe", "expect", "anticipate", "contemplate", "target", "intends", "continue", "plans", "budget", "estimate", "may", "will", and similar expressions identify forward-looking information and statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Xebra as of the dates of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to, the inability of Xebra to retain the authorizations granted by COFEPRIS, the inability to generate sufficient revenues or to raise sufficient funds to carry out its business plan; changes in government legislation, taxation, controls, regulations and political or economic developments in various countries; risks associated with agriculture and cultivation activities generally, including inclement weather, access to supply of seeds, poor crop yields, and spoilage; compliance with import and export laws of various countries; significant fluctuations in cannabis prices and transportation costs; the risk of obtaining necessary licenses and permits; inability to identify, negotiate and complete potential acquisitions, dispositions or joint ventures for any reason; the ability to retain key employees; dependence on third parties for services and supplies; non-performance by contractual counter-parties; general economic conditions; the continued growth in global demand for cannabis products and the continued increase in jurisdictions legalizing cannabis; and the timely receipt of regulatory approvals for license applications on terms satisfactory to Xebra. In addition, there is no assurance Xebra will: be a low-cost producer or exporter; obtain a dominant market position in any jurisdiction; have products that will be unique. The foregoing list is not exhaustive and Xebra undertakes no obligation to update or revise any of the foregoing except as required by law. Many of these uncertainties and contingencies could affect Xebra's actual performance and cause its actual performance to differ materially from what has been expressed or implied in any forward-looking statements made by, or on behalf of, Xebra. Readers are cautioned that forward-looking statements are not guarantees of future performance and readers should not place undue reliance on such forward-looking statements. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those set out in such statements.
SOURCE: Xebra Brands Ltd
View the original press release on ACCESS Newswire
FAQ
How much is Xebra Brands (XBRA) raising in their January 2025 private placement?
What is the exercise price and term of XBRA's warrants in the January 2025 offering?
How much debt is Xebra Brands (XBRA) converting to equity in January 2025?
When is the expected closing date for XBRA's private placement and debt settlement?
How many new shares will XBRA issue in total from both transactions?
