Levitee Labs enters into a credit facility of up to $ 12

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VANCOUVER, British Columbia, Oct 21, 2021 (GLOBE NEWSWIRE) – Levitee Labs Inc. (CSE: LVT) (OTCMKTS: LVTTF) (FSE: 7H7) (the “Society” Where “Levite“), an integrative wellness company with a diverse portfolio of healthcare and wellness assets, is pleased to announce that it has entered into a funding agreement of up to $ 12 million for a new expansion of its activities The guaranteed loan facility (the “To lend“) has been arranged by RiverFort Global Capital Ltd. (a UK company) and the loan is from RiverFort Global Opportunities PCC Ltd. (“RiverFort“or the”LenderThe Company will use the proceeds of the loan to support the Company’s potential future acquisitions of several assets in clinics, pharmacies and mental health spaces as well as for working capital purposes.

Pouya Farmand, CEO of Levitee commented: “We are grateful for the support we receive from RiverFort. We believe this funding reflects not only their confidence in the proposed acquisition strategy, but also in the acquisitive growth potential of Levitee Labs once the acquisitions are completed. are completed. We are committed to continuing to execute our accretive acquisition program, adding another catalytic driver to Levitee’s future growth potential.

Pursuant to the terms of the loan, Levitee agreed to draw down an initial tranche of $ 2.5 million (“Tranche 1”), This debt maturing on October 20e, 2023 (the “Due date”), With interest payable by Levite in an amount equal to 10% per annum of the amount of the advance Tranche 1. Any subsequent advance under the Loan, which will be entirely at the discretion of the Levite, will be subject to interest payable. by the Levity of an amount equal to 20%, to be applied to the period between the date of the relevant advance date and the Due Date. Closing of Tranche 1 and each subsequent tranche of the loan will be subject to the satisfaction of customary closing conditions involving Levitee and RiverFort, including final regulatory approval by the Canadian Securities Exchange.

The Loan provides 25% warrant coverage for each advance or draw, determined to be 25% of the principal amount of the tranche divided by the share price of the Company at the time of the advance. The exercise price of the warrants will be set at 150% of the share price of the Company at the time of the advance and the warrants will expire three years after their grant date. Subject to the satisfaction of the closing conditions of Tranche 1, Levitee will issue 1,378,778 warrants (“Mandates“) to RiverFort whereby each warrant will entitle RiverFort to purchase one common share of the Company (a”To share”) At a price of $ 0.68 per share for a term of three years.

As part of the loan agreement, RiverFort will have the option to convert up to 50% of the principal amount of the loan into shares at a fixed conversion price equal to 125% of the market price of the shares at the time of the applicable drawdown. down. Subject to the satisfaction of the closing conditions of Tranche 1, the fixed conversion price for Tranche 1 will be $ 0.544 per Share. In addition, RiverFort may, at its option, once every thirty (30) days, request and require that debt represented by deemed interest on the Loan be converted into Shares in accordance with a private placement price equal to 90%. the last closing price of the Shares on the day preceding the notice of such conversion.

Gytis Martinkus, CEO of RiverFort Global Capital Limited, said: “We are delighted to be working with Levitee Labs as a financial partner as it implements its strategy to become a leading integrative wellness company dedicated to redefining traditional treatments for mental health and addiction. The strategy communicated to me and my team by the board of directors of Levitee Labs was very clear, with the intention of deploying capital through mergers and acquisitions as well as expanding its operational interests in the medical field and well-being. Although new to CSE after being listed in July of this year, our due diligence showed that the company has a clear and proven cash-generation model that will be able to grow with a fund. working capital and additional working capital. As a result, we invest in Levitee Labs with confidence and look forward to continuing to work with the company throughout its journey. “

Levitee and RiverFort are independent and deal at arm’s length from each other. The Loan Agreement and all warrants issued to RiverFort pursuant to the Loan Agreement will be issued in accordance with the prospectus exemptions set out in NI 45-106 Prospectus exemptions (“Regulation 45-106“) and all shares issued upon conversion of the loan or upon exercise of the warrants will, if issued, also be issued in accordance with the prospectus exemptions set out in NI 45-106 and will be subject to the periods of legal holdings applicable under Canadian Standard 45-102 Resale of securities.

About Levitee Labs Inc.

Levitee is establishing itself as a leader in the field of integrative wellness. Leveraging a M&A regime focused on centralizing complementary integrative wellness assets, Levitee aims to transform mental health and addiction treatments through the integration of drugs and psychedelic therapies into a home medical care model. The Company’s current portfolio of assets includes: Cliniques LeviteeMT, a group of five drug and pain treatment clinics in Alberta; Levite PharmaciesMT, three pharmacies operating in Alberta specializing in dispensing prescriptions for patients with substance use disorders, mental health issues and chronic pain; BlockMD, the first Alberta tech company to receive provincial approval for electronic drug prescriptions; and Earth Circle Organics, a direct-to-consumer supplements and superfoods wholesaler with over 180 references in its product line across three brands. Further information on Levitee is available on its website at www.leviteelabs.com.

About RiverFort Global Capital Ltd.

RiverFort Global Capital Ltd. provides comprehensive and innovative growth finance solutions to publicly traded and private companies across a wide range of industries. With deep industry knowledge and experience, RiverFort prides itself on creating win-win partnerships between its alternative funding sources, including family office co-investors, and the companies it believes in. RiverFort Global Capital Ltd. is licensed and regulated by the UK. Financial Conduct Authority (766760).

Forward-looking statements

This press release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, that deal with activities, events, results, developments, performances or achievements that Levitee anticipates or expects to occur or will occur at the future (in whole or in part) should be seen as prospective. information search. Such information may involve, without limitation, statements regarding the business plans and products offered by Levitee, and the benefits derived from mushroom infused products; the intended use of the loan proceeds; the acquisitive growth potential of Levitee once the acquisitions are completed; the expectation that Levitee will continue to execute its accretive acquisition program, and the contribution of such a program to Levitee’s future growth potential; the closing of Tranche 1, including the ability of Lévité to meet the closing conditions of Tranche 1; the closing of any future tranche under the Loan, including Levitee’s ability to meet the closing conditions of future tranches of the Loan; and Levitee’s goal of transforming mental health and addiction treatment through the integration of drugs and psychedelic therapies into a home health care model. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “is planned”, “budget”, “planned”, “estimates”, “forecasts”, ” means “,” anticipates “or” believes “or variations (including negative variations) of these words and expressions, or statements made in the future or indicating that certain actions, events or results” could “,” could “,” would be “,” could “or” will “(or other variations of the above) either taken, to occur, to be achieved or to be realized. These statements and other forward-looking information are based on assumptions made by Levitee based on competitive, financial and economic data and operating plans, strategies or beliefs currently available at the date of this press release as well as on management’s current expectations or beliefs regarding future growth, results of operations, future capital (including the amount, nature and sources of funding thereof) and expenses. These assumptions may also be based on information obtained from third party industry analysts and other third party sources. Forward-looking information is necessarily based on a number of opinions, assumptions and estimates which, although considered reasonable by Levitee at the date on which such statements are made, are subject to known and unknown risks, uncertainties, assumptions and other factors that could cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking information, including, but not limited to, the risks associated with the following: the limited history of Levitee’s operations; the ability to secure additional funding; negative cash flow from operating activities since inception; regulatory requirements; changes in consumer preferences; supply of raw materials; the use of a limited number of products; brand awareness; the ability to develop, market and produce new products; dependence on certain key senior executives; the use of third parties for manufacturing and packaging; potential product liability claims and product recalls; and significant competition. For more information regarding these risks, please see the risk factors identified and reported in Levitee’s public documents under its SEDAR profile at www.sedar.com. Any forward-looking information contained in this press release is expressly qualified by this cautionary statement. Readers are cautioned not to place undue reliance on forward-looking statements or information. Forward-looking information is made as of the date of this press release, and Levitee assumes no obligation to publicly update or revise such forward-looking information, except as required by applicable securities laws. CSE (operated by CNSX Markets Inc.) has neither approved nor disapproved the contents of this press release and accepts no responsibility for the adequacy or accuracy of this press release.

For more information about Levitee Labs Inc., please contact:

Media contact:
[email protected]

Investor and corporate communication:
[email protected]


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