VERSES Closes CAD$2.65 Million Convertible Debenture Unit Financing

Executive Summary

• VERSES AI Inc. closed a non‑brokered private placement raising CAD 2.65 million (CAD 2.4 M cash).
• Each unit contains a CAD 1,000 secured convertible debenture and 164 detachable warrants exercisable at CAD 7.00 per share until 18 Dec 2028.
• The debentures bear 15% annual interest, mature on 18 Dec 2027, and are convertible into Class A Subordinate Voting Shares at CAD 3.04 per share (subject to anti‑dilution adjustments).

Key Details

• Gross proceeds: CAD 2.65 million; cash component: CAD 2.4 million.
• Unit composition:
• CAD 1,000 principal amount secured convertible debenture.
• 164 detachable share purchase warrants per unit.
• Conversion terms:
• Conversion price of CAD 3.04 per Class A Subordinate Voting Share.
• Anti‑dilution adjustments apply as customary.
• Warrant terms:
• Exercise price: CAD 7.00 per share.
• Expiration date: 18 Dec 2028.
• Debenture terms:
• Maturity: 18 Dec 2027.
• Interest rate: 15% per annum, payable in arrears at conversion, pre‑payment, or maturity (cash or shares).
• Secured by a first‑ranking security interest over all present and after‑acquired assets of the Company.
• Use of proceeds: General working capital purposes.
• Regulatory notes:
• Units subject to a statutory hold period of four months plus one day under Canadian securities law.
• Final approval by Cboe Canada Inc. required.
• Securities not registered in the United States; cannot be offered or sold there without registration or exemption.

Notable Quotes

“We are pleased to close this financing, which provides us with the capital needed to advance our agentic software platform and pursue growth opportunities.” – Gabriel René, Founder & CEO, VERSES AI Inc.