Vancouver, British Columbia--(Newsfile Corp. - January 14, 2026) - Purebread Brands Inc. (TSXV: BRED) ("Purebread" or the "Company") the Company is pleased to announce that it has entered into a debt settlement agreement (the "Debt Settlement") with an arms' length creditor to convert $1,974,588 of outstanding indebtedness into an aggregate of 1,579,670 units of the Company ("Settlement Units") at a price of $1.25 per Settlement Unit, in full and final settlement of such indebtedness. Each Settlement Unit will be comprised of one common share of the Company (each, a "Common Share") and one-half of one Common Share purchase warrant (each, a "Warrant") with such Warrants exercisable by the holder to acquire Common Shares of the Company, at a price of $2.50 per Common Share for a period of three years from the date of issuance. It is anticipated that following closing of the Debt Settlement, the creditor will become an "insider" of the Company as such term is defined under applicable Canadian securities laws and the policies of the TSX Venture Exchange.
The Debt Settlement is subject to TSX Venture Exchange approval. All securities issued in connection with the Debt Settlement will be subject to a four-month hold period from the date of issuance in accordance with applicable Canadian securities laws, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside Canada.
In addition, the Company is pleased to announce that, further to the Company's news release on January 6, 2026, it has completed its previously announced shares for debt transaction and issued an aggregate of 532,322 Common Shares of the Company (the "Settlement Shares") to an arm's length creditor of the Company at a price of $1.25 per Settlement Share, in full and final settlement of accrued and outstanding indebtedness in the aggregate amount of US$484,000 (C$665,403.20). Immediately prior to the issuance of the Settlement Shares, the Company had 27,566,263 Common Shares outstanding and following the issuance of the Settlement Shares, there are 28,098,585 Common Shares outstanding.
All Settlement Shares are subject to a four-month hold period from the date of issuance in accordance with applicable Canadian securities laws, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside Canada.
About Purebread Brands Inc.:
Purebread Brands Inc. is a leader in fast-casual cafe / bakeries in British Columbia, driving retail expansion in vibrant communities across Canada and beyond. Purebread is committed to crafting exceptional food experiences and making a positive impact on the communities it serves.
For more information and updated investor presentation, please visit www.purebreadbrands.com or contact:
Amrit Maharaj, Interim Chief Executive Officer
Purebread Brands Inc.
info@purebread.ca
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 news release.
Cautionary Note Regarding Forward-Looking Statements
This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". This information and these statements, referred to herein as "forward-looking statements", are not historical facts, are made as of the date of this news release and include without limitation, discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions with respect to, among other things: the Company's ability to obtain TSX Venture Exchange approval in connection with the Debt Settlement, and the anticipated timing thereof.
These forward-looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, the risks that: the Company's is unable to obtain TSX Venture Exchange approval in connection with the Debt Settlement, or that the Company will be unable to do so on the timeline anticipated.
In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, that TSX Venture Exchange approval for the Debt Settlement will be obtained on the timeline anticipated by management.
Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/280300
Source: Purebread Brands Inc.
