MONTRÉAL, March 17, 2020 (GLOBE NEWSWIRE) -- Elixxer Ltd. (the "Corporation" or "Elixxer") (TSX-V: ELXR and OTC-QB: ELIXF) is pleased to announce that, following receipt of conditional approval from the TSX Venture Exchange, it has now closed its previously announced convertible loan transaction (the "Loan") with international investors led by YA II PN, Ltd. (the "Lenders") pursuant to which they have agreed to refinance the principal amount of $US1,183,000 which is outstanding under expiring convertible notes. The Corporation is not receiving any new cash pursuant to the Loan. The Loan has a maturity date of January 1, 2021 (the "Maturity Date") and bears interest at the rate of 12% per annum.
The principal amount of the Loan, up to a maximum of US$1,096,190, may be convertible into common shares of Elixxer (the "Shares") at the option of the Lenders at a price per Share of CAD$0.05 for a maximum of 28,847,105 Shares.
At closing, the Corporation has issued an aggregate of 14,200,000 common share purchase warrants (the "Warrants") to the Lenders. Each Warrant entitles the holder thereof to acquire one Share at an exercise price of CAD$0.05 per Share until the Maturity Date.
The securities issued by the Corporation at the closing of the transaction, upon conversion of the Loan or upon the exercise of the Warrants are subject to restrictions on resale for a period of four months and one day from the date of closing. The Corporation is at arm's length to the Lenders.
About Elixxer Ltd. (www.elixxer.com)
Elixxer Ltd. is a leading cannabis investment firm with a focus on the legal global cannabis market. Through its growing portfolio of investment companies, ELXR is building a transversal integrated organization of interconnected legal cannabis companies with cultivation, processing and distribution in Australia, Jamaica, Switzerland, Italy, and Canada serving domestic and export markets. Elixxer Ltd. is a Canadian incorporated public company listed on the TSX Venture Exchange (TSX-V: ELXR) and the US OTC-QB exchange (OTCQB: ELIXF).
For further information please contact:
President, John McMullen, +1-416-803-0698, email@example.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Notice Regarding Forward Looking Statements
This press release may contain forward-looking statements with respect to Elixxer and its operations, strategy, investments, financial performance and condition. These statements can generally be identified by use of forward-looking words such as "may", "will", "expect", "estimate", "anticipate", "intends", "believe" or "continue" or the negative thereof or similar variations. The actual results and performance of Elixxer, including completion of the Loan and any future investment or acquisition, could differ materially from those expressed or implied by such statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Some important factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, competition, government regulation and the factors described under "Risk Factors and Risk Management" in Elixxer's most recent Management's Discussion and Analysis filed on SEDAR (www.sedar.com). The cautionary statements qualify all forward-looking statements attributable to Elixxer and persons acting on its behalf. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release, and Elixxer has no obligation to update such statements, except to the extent required by applicable securities laws.