CHARBONE Announces a Non-Brokered Private Placement Closing of $3.1M

Executive Summary

• CHARBONE closed a non‑brokered private placement raising gross proceeds of $3.1 million.
• The financing consists of 23,614,286 Units at $0.13125 per Unit, each unit containing one common share and one common share purchase warrant (exercise price $0.18, exercisable for 24 months).
• Proceeds will fund the Phase 1B hydrogen equipment installation at the Sorel‑Tracy site, increasing UHP hydrogen production capacity by 4.5× to ~1 tonne per day and support general working capital.

Key Details

• Units Issued: 23,614,286
• Unit Price: $0.13125 (total gross proceeds $3,100,000)
• Composition of Each Unit: 1 common share + 1 common share purchase warrant.
• Warrant Terms: Right to purchase one additional common share at $0.18; exercisable for 24 months after closing; accelerated exercise if TSX‑V price ≥ $0.30 for 10 consecutive trading days (must be exercised within 30 days of trigger).
• Finder’s Fee Paid: $247,950 at closing.
• Finder’s Warrants Issued: 1,889,143 warrants to registered dealers for units sold to qualified subscribers.
• Investor Base: Qualified subscribers outside Quebec, primarily one institutional investor in Germany.
• Closing Conditions: Subject to TSX Venture Exchange approval and customary closing conditions.
• Use of Proceeds: Primarily for purchase and installation of Phase 1B hydrogen equipment at Sorel‑Tracy site; remainder for general working capital.

Notable Quotes

“We are excited to start the year 2026 with a strong improvement to our balance sheet and support shown by long term investors in this private placement,” – Benoit Veilleux, CFO & Corporate Secretary, CHARBONE.
“The completion of this financing provides CHARBONE with the resources for the Phase 1B at Sorel‑Tracy site, increasing our clean UHP hydrogen production capacity by 4.5 times reaching almost 1 tonne per day.” – Benoit Veilleux.