VANCOUVER, BC, Oct. 4, 2024 /CNW/ – Filament Health Corp. (OTCQB: FLHLF) (Cboe CA: FH) (FSE: 7QS) (“Filament” or the “Company“), a clinical‐stage natural psychedelic drug development company, today announces that, it has issued 5,600,000 common shares in the capital of the Company (the “Common Shares“) at a price of $0.05 per Common Share to Filament Health SPV – Allocations Funds LLC, Bioconnect Ventures – Allocations Funds LLC, and Sovereign74, LLC. The Common Shares are being issued to pursuant to an advisory agreement (the “Advisory Agreement“) whereby the Company engaged Negev Capital Investments Limited to provide certain advisory services to the Company with respect to fundraising and strategic corporate options. The Advisory Agreement was for a 6-month term which commenced on January 3, 2024 and expired July 3, 2024.
As Filament Health SPV – Allocations Funds LLC, Bioconnect Ventures – Allocations Funds LLC, and Sovereign74, LLC (the “Related Parties“) are affiliated with Negev Capital Fund One, L.P., a significant shareholder of the Company that beneficially holds more than 10% of the Common Shares, and the Related Parties will be issued Common Shares (the “Share Issuance“), the Share Issuance is considered to be a “related party transaction” under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“). All of the independent directors of the Company, acting in good faith, have considered the Share Issuance and have determined that the fair market value of the Common Shares being issued to the Related Parties and the consideration provided by Negev Capital Investments Limited, an affiliate entity of the Related Parties, are reasonable. The Company has relied on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(a) of MI 61-101.
ABOUT FILAMENT HEALTH (OTCQB:FLHLF) (CBOE CA:FH) (FSE:7QS)
Filament Health is a clinical-stage natural psychedelic drug development company. We believe that safe, standardized, naturally-derived psychedelic medicines can improve the lives of many, and our mission is to see them in the hands of everyone who needs them as soon as possible. Filament’s platform of proprietary intellectual property enables the discovery, development, and delivery of natural psychedelic medicines for clinical development. We are paving the way with the first-ever natural psychedelic drug candidates.