Sproutly Amends Maturity Date of Convertible Debentures
/NOT FOR DISSEMINATION IN THE US OR THROUGH US NEWSWIRE SERVICES/
VANCOUVER, BC, June 28, 2022 /CNW/ - Sproutly Canada, Inc. (CSE: SPR) (OTCQB: SRUTF) (FSE: 38G) ("Sproutly" or the "Company") announces that the Company has entered into a sixth supplemental indenture dated June 24, 2022 (the "Sixth Supplemental Indenture") between the Company and TSX Trust Company, as trustee, which amends the terms of its convertible debenture indenture dated October 24, 2018 (the "Original Indenture"), as amended by the first supplemental indenture dated April 24, 2020 (the "First Supplemental Indenture"), as further amended by the second supplemental indenture dated July 23, 2020 (the "Second Supplemental Indenture"), as further amended by the third supplemental indenture dated September 23, 2020 (the "Third Supplemental Indenture"), as further amended by the fourth supplemental indenture dated April 22, 2021 (the "Fourth Supplemental Indenture"), and as further amended by the fifth supplemental indenture dated April 25, 2022 (the "Fifth Supplemental Indenture", together with the Original Indenture, the First Supplemental Indenture, the Second Supplemental Indenture, the Third Supplemental Indenture, and the Fourth Supplemental Indenture, the "Indenture") providing for the issuance of 8.0% senior unsecured convertible debentures in the aggregate principal amount of $10,750,000 (the "Debentures").
Pursuant to the Sixth Supplemental Indenture, the Indenture was modified to extend the maturity date by one month, subject to the prior written approval of Debenture holders holding more than 66 2/3% of the principal amount of all of the outstanding Debentures.
As of the date hereof, Debentures in the principal amount of $1,750,000 are currently outstanding and due to mature on June 24, 2022. The Debentures were originally convertible by the holders thereof into common shares of the Company at a price of $0.75 per common share. Pursuant to the First Supplemental Indenture, the Company and the Debenture holders approved an amendment to the conversion price to $0.105 per share. Pursuant to the Second Supplemental Indenture, the Indenture was amended to provide for certain payments of principal and interest under the Indenture to be settled by the Company in cash or common shares of the Company. Pursuant to the Third Supplemental Indenture, the Indenture was amended to move the conversion price to $0.06 per share and to extend the maturity date by six months to April 24, 2021. Pursuant to the Fourth Supplemental Indenture, the Indenture was amended to extend the maturity date by a year to April 24, 2022. Pursuant to the Fifth Supplemental Indenture, the Indenture was amended to extend the maturity date by two months to June 24, 2022.
In connection with the execution of the Sixth Supplemental Indenture, the Company has extended the maturity date from June 24, 2022 to July 24, 2022.
For additional details regarding the Debentures, please refer to the Company's news releases dated October 24, 2018, December 21, 2018, April 24, 2020, July 30, 2020, September 23, 2020, April 22, 2021, and April 25, 2022 along with the Company's final short form prospectus dated December 19, 2018, each of which are available on the Company's SEDAR profile at www.sedar.com.
Sproutly is the exclusive licensee of APP technology (www.infusionbiosciences.com) to produce proprietary natural water-soluble Infuz2O and BioNatural Oils. Beverage and edible products produced using the whole plant extracts will deliver true to strain whole plant experiences to new consumers and cannabis connoisseurs alike, ushering in the Cannabis 3.0 revolution. Sproutly intends to enter into partnerships with established companies and consumer brands to market unique products that deliver cannabis and hemp whole plant experience and health and wellness benefits, in major commercial territories around the world.
SOURCE Sproutly Canada Inc.
Please visit: www.sproutly.ca; Contact: Dr. Arup Sen, Chief Executive Officer and Director of Sproutly Canada, Inc., Email: [email protected]
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