37 Capital Closes Second Tranche of Equity Financing

Executive Summary

• 37 Capital Inc. closed the second tranche of its equity financing, raising $62,500 in gross proceeds.
• Issued 500,000 units at $0.125 per unit, each unit comprising one common share and one warrant (exercise price $0.15, three‑year term).
• An insider purchased 320,000 units, constituting a related‑party transaction exempted under Multilateral Instrument 61‑101.

Key Details

• Total gross proceeds: $62,500.
• Units issued: 500,000 at $0.125 per unit.
• Unit composition: 1 common share + 1 warrant (exercise price $0.15, exercisable for three years).
• Forced exercise provision triggers if CSE share price ≥ $0.35 for 10 consecutive trading days after six months from issuance.
• Funds to be used for general working capital.
• Securities subject to a four‑month and one‑day hold period, expiring March 18, 2026.
• Insider acquisition: 320,000 units (related‑party transaction).
• Exemptions relied upon under sections 5.5(a) and 5.7(1)(a) of Multilateral Instrument 61‑101 for valuation and minority shareholder approval.

Notable Quotes

• “On Behalf of the Board of 37 Capital Inc., Jake H. Kalpakian, President and CEO.” (signature block)