Ocumetics Announces Forbearance Agreement for $4 Million Secured Convertible Debentures and Provides LIFE Offering Update

Executive Summary

• Ocumetics Technology Corp. entered into a forbearance agreement with holders of its secured convertible debentures, extending the period before they can demand payment or enforce security until June 19 2027.
• In exchange, the company issued 9,153,277 share‑purchase warrants (exercise price $0.58, expiry June 19 2027) to the debentureholders.
• The previously announced “LIFE” financing offering was terminated after selling 1,706,383 units at $0.60 per unit for gross proceeds of approximately $1.02 million.

Key Details

• Debentures:
• Aggregate principal up to $4,000,000; interest 18% per annum, compounded annually.
• Maturity two years from issue date; convertible at $0.32 per share (holder option) until maturity.

• Interest also convertible into shares via “shares for debt” applications subject to exchange approval.

• Forbearance Agreement:

• Debentureholders will refrain from demanding payment or enforcing security until June 19 2027, despite the original maturity date.

• Corporation may pre‑pay any time with 90 days’ written notice and no penalty.

• Warrants Issued as Consideration:

• 9,153,277 warrants issued; each warrant allows purchase of one common share at $0.58.
• Warrants are “bonus” warrants under TSX Venture Exchange Policy 5.1.

• If debentures are repaid/converted within one year of warrant issuance, a proportional portion of the warrants will be extended to the later of (a) one year from issuance or (b) 30 days after repayment/conversion.

• LIFE Offering Termination:

• Total units sold: 1,706,383 at $0.60 per unit, yielding ≈ $1,023,830 in gross proceeds.
• Each unit comprised one common share and one warrant to purchase an additional share at $0.75 (expiry December 30 2028).

• No further tranches were completed; the offering is now closed.

• Security:

• Debentures are secured by a general security agreement over the corporation’s personal property.

Notable Quotes

(No direct quotes from executives were included in the release.)