Dr. Phone Fix closes $1.23M first tranche of financing

Mr. Piyush Sawhney reports DR. PHONE FIX ANNOUNCES COMPLETION OF FIRST TRANCHE OF NON-BROKERED PRIVATE PLACEMENT FINANCING Dr. Phone Fix Canada Corp. has completed the company's first tranche of its previously announced non-brokered private placement of up to 16,666,667 units of the company at a price of 15 cents per unit for gross proceeds of up to $2.5-million. Under the first tranche, the company issued an aggregate of 8,258,336 units for gross proceeds of $1,238,750.40. Dr. Phone Fix anticipates completing a second tranche of the offering within the next few weeks. Each unit comprises one common share of the company and one-half of one common share purchase warrant. Each warrant will entitle the holder to acquire one share at an exercise price of 25 cents per share for a period of two years from the date of issuance of the warrant. All securities issued pursuant to the offering are subject to a statutory hold period of four months and one day in accordance with applicable securities laws. "The successful closing of this first tranche marks an important step in executing on our strategic plan," said Piyush Sawhney, chief executive officer of Dr. Phone Fix. "We remain focused on accelerating our growth through a disciplined M&A strategy alongside organic store openings, with the clear intention of doubling our store count from 35 to 70 over the next 12 to 18 months. This financing provides us with the capital to act on these opportunities and deliver long-term value to our shareholders." Fees were paid to certain finders in connection with the first tranche. Such fees comprised a cash payment of 7 per cent of the gross proceeds received from persons introduced to the company by such finders, as well as common share purchase warrants of Dr. Phone Fix in an amount equal to 7 per cent of the units subscribed for by persons introduced to the company by such finders. Each broker warrant may be exercisable to purchase one additional common share of Dr. Phone Fix at an exercise price of 25 cents for a period of two years from the date of issuance. A director of Dr. Phone Fix subscribed for 990,000 units as part of the first tranche, and such participation is considered to be a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transaction. Dr. Phone Fix has relied on the exemptions in sections 5.5(a), 5.5(b) and 5.5(c) of MI 61-101 from the requirement for a formal valuation contained in MI 61-101 and has relied on the exemption in Section 5.7(1)(a) of MI 61-101 from the requirement for minority approval contained in MI 61-101. Dr. Phone Fix did not file a material change report more than 21 days before the expected closing of the first tranche because the participation therein by such Dr. Phone Fix director was not determined, and the extent and terms of such participation were not settled, until shortly prior to closing of the first tranche, and Dr. Phone Fix wished to close on an expedited basis for sound business reasons. The offering is expected to close on or about Oct. 23, 2025, and is subject to customary conditions, including the final approval of the TSX-V. The company reserves the right to increase the size of the offering to be an offering of up to 26,666,667 units, for gross proceeds of up to $4-million, at any time prior to the closing of the offering. About Dr. Phone Fix Canada Corp. Dr. Phone Fix is an award-winning, eco-friendly and customer-centric leader in Canada's cell phone and electronics repair and preowned resale industry. Founded in 2019, Dr. Phone Fix operates 35 corporately owned retail locations across Canada, offering fast and reliable device repairs, certified preowned devices, and a wide range of accessories. The company maintains strong relationships with OEMs (original equipment manufacturers) and certified suppliers to ensure high-quality service and product offerings. We seek Safe Harbor.