Safe Supply Announces Closing of Upsized Financing

Executive Summary

• Safe Supply Streaming Co. closed an upsized private placement, raising $935,000 in gross proceeds (up from the original $500,000 target).
• The offering consisted of 18,700,000 units at $0.05 per unit, each unit containing one common share and half a warrant; additional broker warrants were issued as finder's fees.
• Net proceeds will fund the licensing fee and related obligations under the Healthy Sprays GLP‑1 licensing agreement and support general corporate and working‑capital needs.

Key Details

• Offering Size & Pricing – Gross proceeds of $935,000 from 18,700,000 units at $0.05 per unit (upsized from an initial $500,000 target).
• Unit Composition – Each unit = 1 common share + ½ warrant; each whole warrant allows purchase of one additional common share at $0.075 per share for 24 months.
• Finder Compensation – Cash commissions of $65,450 and 1,309,000 broker warrants (exercisable for one unit at $0.05 for 24 months) paid to finders; PowerOne Capital Markets Ltd. acted as a finder on part of the offering.
• Use of Proceeds – Primarily to pay the licensing fee and related obligations under the Healthy Sprays GLP‑1 technology agreement; remainder for general corporate and working‑capital purposes.
• Statutory Hold Period – All securities subject to a four‑month plus one day hold period per Canadian securities law.
• Related Party Transaction – An insider participated; exemption relied upon under MI 61‑101 because fair market value of securities issued to the insider does not exceed $2,500,000.
• Regulatory Notices – Securities not registered in the U.S.; offering not available to U.S. persons absent applicable exemptions.

Notable Quotes

“The strong demand for this financing from existing shareholders, members of our management team, and new strategic investors underscores the confidence in our strategy… With the successful close of this upsized financing, we are well‑capitalized to advance the commercialization of the Healthy Sprays GLP‑1 technology…” – Geoff Benic, Chief Executive Officer

Materiality Assessment: Material – Positive (significant capital raise that enables key licensing obligations and growth initiatives).