Plus Products Proposes Modifications to Debentures

Plus Products Inc. Reveals Remarkable Fulfilling of Debentureholders

SAN MATEO, Calif., Feb. 03, 2021 (WORLD NEWSWIRE)– Plus Products Inc. (CSE: PLUS) (OTCQX: PLPRF) (the “Business” or “PLUS”), a cannabis and hemp top quality items business in the U.S., is happy to reveal an amazing conference of holders of 8.00% unsecured convertible debentures due February 28, 2021 (the “Debentures”).

The conference information are as follows:

Date: February 25, 2021
Time: 10:00 a.m. (Pacific Time)
Location: Telephone Teleconference

A Management Info Circular (the “Circular”) consisting of an in-depth description of specific changes for factor to consider (the “Debenture Modifications”) and resolutions for factor to consider (the “Resolution Amendments”) has actually been sent by mail to the Business’s debentureholders of record (the “Debentureholders”). Due to COVID-19 constraints, the conference is set up to be held by telephone conference and the Business motivates Debentureholders to vote by proxy, in accordance to the guidelines supplied in the Circular. The Circular has actually been submitted under the Business’s profile on SEDAR and is readily available at www.sedar.com.

The Debenture Modifications to be thought about are the following:

a) to extend the maturity date of the Debentures from February 28, 2021 to February 28, 2024;

b) to increase the voucher rate of the Debentures from 8.00% to 12.00% per year efficient February 28, 2021;

c) to approve to Odyssey Trust Business, on its behalf and on behalf of the Debentureholders, a very first charge security interest in all of the Business’s present and after gotten residential or commercial properties;

d) to approve a conversion right to the holder of a Debenture pursuant to which Debentureholders might need the Business to transform their exceptional Debentures professional rata approximately an optimum quantity of CAD$ 6,250,000 (representing 25%) of the primary quantity of the Debentures to be so transformed at a conversion rate of CAD$ 0.95, exercisable approximately March 31, 2021, and erase the Debentureholder’s right to transform any part of the primary quantity of a Debenture into typical shares at a rate of CAD$ 6.50 in the capital of the Business; and

e) to modify the redemption rate to a quantity equivalent to 103% of the primary quantity, consisting of accumulated and overdue interest thereon approximately (and consisting of) the redemption date approximately February 28, 2023 and afterwards up until the maturity date to a quantity equivalent to 101.50% of the primary quantity, consisting of accumulated and overdue interest thereon approximately (and consisting of) the redemption date.

The Resolution Modifications to be thought about are the following:

a) to think about authorizing the payment of an authorization cost equivalent to CAD$ 499 for every single CAD$ 1,000 primary quantity of Debentures held by such Debentureholders as at the record date and to be paid in the type of typical share purchase warrants (the “Approval Cost”) to those Debentureholders having actually granted the Debenture Modifications on or prior to February 22, 2021. In factor to consider of the Approval Cost paid to such consenting Debentureholders, the Business will provide to the Debentureholders one (1) typical share purchase warrant (each, a “Warrant”) for every single CAD$ 1.10 Approval Cost factor to consider to be gotten by Debentures held by such Debentureholders as at the record date.

The overall aggregate factor to consider of such Approval Cost being 454 Warrants for every single CAD$ 1,000 primary quantity of Debentures provided to those Debentureholders having actually granted the Debenture Modifications on or prior to February 22, 2021.

Each entire Warrant will entitle the holder thereof to acquire one (1) Subordinate Ballot Share at a rate of CAD$ 1.10 per share at any time on or prior to February 28, 2024;

b) to think about authorizing the delisting of the Debentures from the Canadian Securities Exchange (the “CSE”); and

c) to think about authorizing the listing of the modified debentures (the “Amended Debentures”) on the CSE.

Resolution Modifications b) and c) have actually been advanced by the Business upon demand by the CSE in order to preserve the Amended Debentures as a noted security.

The board of directors of the Business (the “Board”) all advises that the Debentureholders choose all of the Debenture Modifications and Resolution Modifications (the “Modifications”).

The Modifications will enhance the Business’s balance sheet and permit it to additional preserve its money reserves in order to money its ongoing development and appropriately, the Modifications remain in the interests of Debentureholders.

About PLUS

PLUS is a cannabis and hemp top quality items business concentrated on utilizing nature to bring balance to customers’ lives. PLUS’s objective is to make cannabis safe and friendly– that starts with top quality items that provide constant customer experiences. PLUS is headquartered in San Mateo, CA.

Original News Release

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