Prime Drink Group Announces Closing of First Tranche of Private Placement and Change of Fiscal Year-End
Company also announces the exercise of $150,000 of warrants by an officer and a stock option grant
MONTREAL, Jan. 02, 2025 (GLOBE NEWSWIRE) -- Prime Drink Group Corp. (CSE: PRME) (“Prime” or the “Company”) announces that it has closed a first tranche of its previously announced non-brokered private placement financing (the “Offering”) of units of the Company (each, a “Unit”) for gross proceeds of $550,000 (the “First Tranche”).
The First Tranche consisted of the sale of 110 Units at a price of $5,000 per Unit resulting in the issuance of 2,200,000 common shares of the Company (the “Common Shares”) and 2,115,300 transferable share purchase warrants (the “Warrants”). Each Warrant entitles the holder to purchase one Common Share at a price of $0.26 per Common Share for a period of two (2) years from the closing date of the Offering.
In connection with the First Tranche of the Offering, the Company will pay cash finders’ fees totalling $32,100, which amount represents 6% of the proceeds received by the Company from subscribers to the Offering introduced to the Company by such finders.
The securities underlying the Units issued pursuant to the Offering are subject to resale restrictions, including a hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws. The Company intends to use the net proceeds of the Unit Offering to develop its business and for general working capital purposes.
Warrant Exercise
The Company is also pleased to announce that it has received $150,000 from the exercise of warrants at a price of $0.125 per share from an officer of the Company.
Change of Fiscal Year-End
The Company also wishes to announce that it has changed its fiscal year-end from December 31 to March 31. For the transition year, the Company will provide audited financial statements for the 15-month period ended March 31, 2025. The reason for the change of year-end is to facilitate the Company’s financial reporting following the acquisition of Triani Canada Inc.
A notice of change in fiscal year-end, which sets out the length, beginning and end dates of the periods, including the comparative periods of the interim and annual financial statements required for the Company’s transition year and its new fiscal year, has been filed on SEDAR+ and is available at www.sedarplus.ca.
Stock Option Grant
Finally, the Company has granted 600,000 stock options to an officer under the Company’s stock option plan. The stock options can be exercised until December 18, 2026, at a price of $0.25 per share.
About Prime Drink Group
Prime Drink Group Corp (CSE: PRME) is a Québec-based corporation focused on becoming a leading diversified holding company in the beverage, influencer media and hospitality sectors.
NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES. THIS NEWS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY OF THE SECURITIES IN THE UNITED STATES. THE SECURITIES HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “U.S. SECURITIES ACT”) OR ANY STATE SECURITIES LAWS AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED UNDER THE U.S. SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR AN EXEMPTION FROM SUCH REGISTRATION IS AVAILABLE. THIS NEWS RELEASE DOES NOT CONSTITUTE AN OFFER OR SALE OF SECURITIES IN THE UNITED STATES.
For further information, please contact:
Jean Gosselin, Secretary
Phone: (514) 394-7717
Email: info@prime-group.ca
Forward-Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations (including negative and grammatical variations) of such words and phrases or statements that certain acts, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information in this press release may include, without limitation, statements relating: (i) to the completion of the Offering, (ii) the issuance of the underlying securities, and (iii) the intended use of proceeds of the Offering.
These statements are based upon assumptions that are subject to significant risks and uncertainties, including risks regarding the beverage industry, the Offering is completed as currently contemplated, market conditions, general economic factors, and the equity markets generally. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance of Prime may differ materially from those anticipated and indicated by these forward-looking statements. Any number of factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although Prime believes that the expectations reflected in forward-looking statements are reasonable, they can give no assurances that the expectations of any forward-looking statements will prove to be correct. Except as required by law, Prime disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.
Neither theCanadian Securities Exchangenor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
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