TORONTO, Oct. 4, 2021
/CNW Telbec/ - GreenSpace Brands Inc. ("GreenSpace" or the
"Company") (TSXV: JTR), a leader within the organic and
plant-based food industry, is pleased to announce that it has
finalized agreements with Pivot Financial Inc. ("Pivot") and
MW1 LLC ("MW1") to renew debt facilities with the Company
through September 30, 2022.
PIVOT FINANCIAL INC.
The Company and Pivot have agreed
to renew their current Factor Facility and Term Loan arrangements
for an additional year. As part of the renewal, the current
Factor Facility will be maintained. The Company and Pivot have
agreed to increase the size of the Term Loan available to the
Company from $3,500,000 to
$5,000,000. The additional
value of the Term Loan ($1,500,000)
will be used for working capital, investments in innovation,
geographic and channel expansion, and general corporate purposes.
Renewal fees of $100,000 were payable
to Pivot and settled by the issuance of 1,428,572 common shares at
a deemed price of $0.07 per share,
which are subject to a customary hold period of four months and one
day from the date of issue.
MW1 LLC
The Company and MW1 have agreed to renew their
vendor takeback note arrangement ("VTB Note") for an
additional year. The agreement outlines certain prepayment windows
and milestones that may allow the Company to reduce the size of its
outstanding VTB Note with MW1, subject to certain conditions being
met (provided any prepayment is made in accordance with the
subordination agreement between MW1 and Pivot Financial
Inc.). As part of the renewal, the Company will issue
5,555,550 shares in payment of extension fees to MW1 within 30 days
of the closing date of the Company's most recent private placement
(closed September 28, 2021) (the
"Extension Fee"). The Extension Fee was agreed to by
the Company and MW1 on September 22,
2020. The issuance of these 5,555,550 shares are subject to
a customary hold period of four months and one day from the date of
issue.
ABOUT GREENSPACE BRANDS INC.:
GreenSpace is a North
American organic and plant-based food business that develops,
markets and sells premium food products to consumers within the
fast-growing natural and organic food categories. GreenSpace owns
LOVE CHILD ORGANICS, a producer of 100% organic food for infants
and toddlers made with natural and nutritionally-rich ingredients,
CENTRAL ROAST, a clean snacking brand featuring a wide assortment
of organic nut and seed mixes and GO VEGGIE, one of the pioneers
and leaders in the US plant-based dairy market. All brands
are wholly-owned and are sold in a variety of online, natural and
retail grocery locations.
For more information, visit www.greenspacebrands.ca and
GreenSpace's filings are also available at
www.SEDAR.com.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION:
This news release includes certain information
that may constitute "forward-looking information" under applicable
Canadian securities legislation. Forward-looking information is
necessarily based upon a number of estimates and assumptions that,
while considered reasonable, are subject to known and unknown
risks, uncertainties, certain of which are beyond the control of
GreenSpace, including, but not limited to, the failure of third
parties to comply with their obligations to the Company or its
affiliates; the impact of new and changes to, or application of,
current laws and regulations; critical accounting estimates and
changes to accounting standards, policies, and methods used by the
Company; the occurrence of natural and unnatural catastrophic
events and claims resulting from such events; and risks related to
COVID-19 including various recommendations, orders and measures of
governmental authorities to try to limit the pandemic, including
travel restrictions, border closures, nonessential business
closures, quarantines, self-isolations, shelters-in-place and
social distancing; and other factors which may cause the actual
results and future events to differ materially from those expressed
or implied by such forward-looking information, including the risks
identified in the Company's disclosure documents. There can be no
assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. Accordingly, readers should not
place undue reliance on forward-looking information. All
forward-looking information contained in this press release is
given as of the date hereof and is based upon the opinions and
estimates of management and information available to management as
at the date hereof. The Company disclaims any intention or
obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise,
except as required by law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE GreenSpace Brands Inc.