Beckett's Closes US$500,000 5-Year 8% Convertible Debenture Financing

Financing Closing Details

• Beckett's Inc. closed a non-brokered private placement of 5-year, 8% secured convertible debentures for US$500,000 gross proceeds on May 11, 2026.
• The financing was previously announced on May 1, 2026, and the closing confirms execution of that plan.
• Net proceeds are designated for general working capital, specifically inventory production and marketing initiatives to support sales and distribution growth.

Liquidity and Cash Flow Impact

• The US$500,000 raise provides immediate working capital flexibility but is a relatively small amount for a company seeking national expansion and inventory production.
• Proceeds are earmarked for inventory and marketing, suggesting operational scaling rather than debt repayment or major acquisitions.
• Interest payable in shares creates potential future dilution if the stock price does not rise to trigger conversion; cash interest payments are only possible if share issuance is blocked by CSE rules.

Business Model

• Beckett's Inc. operates in the non-alcoholic beverage sector, producing ready-to-drink canned cocktails.
• Flagship products include Non-Alcoholic Gin & Tonic, Moscow Mule, Cinnamon Whiskey, and Coconut Rum.
• Products are marketed as low-calorie (35 cal per serving), vegan, gluten-free, and low in sugar to target health-conscious consumers.