Stickit Technologies amends share rollback, financing

Executive Summary

• Stickit Technologies Inc. has amended the terms of its previously announced share consolidation and concurrent private placement.
• The share consolidation is effective January 7, 2026, with a record date of January 6, 2026, converting every five pre-consolidation shares into one post-consolidation share.
• The company is proceeding with a private placement of not less than $700,000 and not more than $1.05 million, priced at 2.5 cents per unit, consisting of one common share and one warrant per unit.

Key Details

• Share Consolidation Terms:

  • Ratio: 1 post-consolidation share for every 5 pre-consolidation shares.
  • Effective Date: January 7, 2026.
  • Record Date: January 6, 2026.
  • Current Shares Outstanding: 127,547,356 common shares.
  • Projected Shares Outstanding: 25,509,471 common shares (subject to regulatory approval).
  • Fractional Shares: Fractional shares will be cancelled; shareholdings will be rounded down to the nearest whole number.
  • Options: Outstanding stock options will be adjusted by the consolidation ratio.
  • Approval: No shareholder approval is required; the Board of Directors has the authority to effect the consolidation via directors' resolution.
  • Ticker: Common shares will continue to trade on the Canadian Securities Exchange under the symbol STKT.

• Private Placement Terms:

  • Structure: Units consisting of one common share and one common share purchase warrant.
  • Price: 2.5 cents per unit.
  • Size: Not less than $700,000 and not more than $1.05 million.
  • Warrant Terms: Each warrant is exercisable for one additional common share at an exercise price of 2.5 cents.
  • Warrant Duration: Three years from the date of issuance.
  • Warrant Exercise Condition: Warrants cannot be exercised until the company completes a further consolidation of its share capital (2 existing shares consolidated into 1 new share).
  • Finders' Fees: Paid in cash and securities pursuant to CSE policies.

• Regulatory & Governance:

  • CSE Approval: The company received approval from the CSE to avoid seeking securityholder approval for the private placement under Section 4.6(2)(b) of CSE Policy 4 due to the company being in "serious financial difficulty."
  • Related Persons: No related person of the company will participate in the private placement.
  • Purpose: The consolidation is intended to increase flexibility and make securities more attractive to potential investors.

Notable Quotes

• "The board of directors believes that the consolidation is in the best interest of shareholders of the company."