Delic Holdings Corp (CSE: DELC | OTCQB: DELCF | FRA: 6X0), a leader in new medicines and treatments for a modern world, is pleased to announce that it completed the sale of 1,240 units at a price of $1,000 per Unit for aggregate gross proceeds of $1,240,000, on July 27, 2022. Each Unit consists of one 4.0% senior secured, $1,064 principal amount convertible debenture and 16,369 share purchase warrants.
The principal amount and accrued but unpaid interest on each Debenture is convertible at the option of the holder into common shares of the Company at any time following the Closing Date at a price of $0.065 per Common Share. The Debentures will mature 24 months from the Closing Date and will bear interest at a rate of 4% per annum, payable quarterly on the last business day of each calendar quarter. At the Maturity Date, all principal amounts outstanding together with any unpaid interest must be repaid. The Debentures are represented by certificates and secured by security interests over substantially all of the Company’s assets, similar security interests over the assets of its direct subsidiaries, and pledges of the shares of each of its direct and indirect subsidiaries. Each Warrant entitles the holder to purchase one Common Share at an exercise price of $0.10 at any time up to 2 years following the Closing Date.
The Company has paid finder’s fees with respect to certain of the issuances of Units. Finders could elect to receive: (i) a number of units consisting of one Common Share and one Finder’s Warrant equal to 7% of the number of Units sold to purchasers found by such finder, or (ii) 4% of the gross proceeds from the sale of Units to purchasers found by such finder, and a number of Finder’s Warrants equal to 7% of the number of Units sold to such purchasers. Each Finder’s Warrant entitles the holder to purchase one Common Share at an exercise price of $0.12 at any time up to 2 years following the Closing Date. The Company paid $46,500 in cash, and will issue 107,692 Finder’s Warrants, to finders.
All securities issued in connection with the Debenture Offering are subject to a hold period in Canada of four months and one day from the Closing Date. The Company will use the proceeds from the sale of the Debenture Units, net of expenses (including cash paid to finders), for expansion and general corporate purposes.
About Delic Corp
Delic is a leader in new medicines and treatments for a modern world, improving access to health benefits across the country and reframing the conversation on psychedelics. The company owns and operates an umbrella of related businesses, including the largest chain of psychedelic wellness clinics in the country, Ketamine Wellness Centers; the only licensed entity by Health Canada to exclusively focus on research and development of psilocybin vaporization technology, Delic Labs; the premier psychedelic wellness event, Meet Delic; and trusted media and e-commerce platforms Reality Sandwich and Delic Radio. Delic is backed by a team of industry and cannabis veterans and a diverse network, whose mission is to provide education, research, high-quality products, and effective treatment options to the masses.