First C$2M of the Five Equal Advances Has Been Made To SOL With Further C$2M Advances to Be Made Every 60 Days
70% of Net Proceeds Will Be Used for Additional Solana Purchases
Toronto, Ontario--(Newsfile Corp. - February 13, 2025) - SOL Global Investments Corp. (CSE: SOL) (FSE: 9SB) ("SOL Global" or the "Company"), one of the first publicly traded companies focused on institutional Solana investments, is pleased to announce that it has received in full the first advance (the "First Advance") pursuant to an unsecured convertible debenture issued today for the aggregate principal amount of C$10,000,000 (the "Convertible Debenture") previously announced on January 23, 2025 (the "Private Placement").
The Convertible Debenture is convertible into units of the Company (each, a "Unit", and collectively, the "Units") at the conversion price of C$0.50 per Unit. Each Unit will be comprised of one common share in the capital of the Company (each, a "Common Share") and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant will be exercisable for one additional Common Share (each, a "Warrant Share") for a period of 12 months at an exercise price of C$0.65 per Warrant Share.
The Convertible Debenture shall be funded in advances, with each additional advance of C$2 million expected to close on April 14, 2025, June 13, 2025, August 12, 2025, and October 11, 2025 (each, an "Advance"), resulting in total combined aggregate gross proceeds to the Company of C$10,000,000.
The Advances are committed contractual obligations of the holder, and the holder and the Company may mutually agree in writing to accelerate the date of any one or more Advances. In addition, the Convertible Debenture contains restrictions such that the holder will not be permitted to convert or exercise securities related to an unadvanced portion under the Convertible Debenture, or if following such conversion or exercise, the holder would hold more than 9.99% of the issued and outstanding Common Shares.
The holder of the Convertible Debenture also received a 2.5% set up fee of C$250,000, which amount was settled by the reduction of the amount payable under the First Advance under the Convertible Debenture.
The Convertible Debenture matures on the date that is 24 months from the date of issue and is subject to a 10% interest rate, payable in arrears by cash at the time of each Advance and at maturity.
The Company intends to allocate 70% of the proceeds of the Private Placement toward the acquisition of Solana tokens, reinforcing its commitment to digital assets and blockchain technology.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein 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 unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration requirements is available.
For Further Information Please Contact:
SOL Global Investments Corp.
Paul Kania, Interim CEO, CFO
Tel: (212) 729-9208
Email: info@solglobal.com
Website: https://solglobal.com/
About SOL Global Investments Corp.
SOL Global is pioneering institutional investment in the Solana ecosystem. As one of the first publicly traded companies globally focused on Solana investment, SOL Global aims to provide unprecedented public exposure to the Solana blockchain through token acquisition, staking for yield generation, and investments in early-stage ventures being built on Solana.
Caution Regarding Forward-Looking Statements
This press release includes certain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements herein, other than statements of historical fact, constitute forward-looking information. Forward-looking information is frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking information in this press release includes, but is not limited to, statements regarding additional Advances under the Convertible Debenture; the proposed use of proceeds of the Private Placement; and statements relating to the Company's intention to increase its investments in Solana. Forward-looking information reflects the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, technical, economic, and competitive uncertainties and contingencies, including the speculative nature of cryptocurrencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking information. Such risks, uncertainties and other factors include, without limitation, the Company's ability execute on its business and investment plans; the Company's ability to raise debt or equity through future financing activities and divest its current investment partnerships and minority holdings; the Company's ability to increase its investments in the Solana blockchain and Solana-based technologies; changes in technology in the decentralized finance and the digital asset sector; changes in the laws and regulations governing cryptocurrencies, decentralized finance and digital assets; the inherent volatility in the prices of certain cryptocurrencies including Solana tokens; increasing competition in the crypto and blockchain industries; general economic, political and social uncertainties in Canada and the United States; currency exchange rates and interest rates; the limited resources of the Company; the Company's reliance on the expertise and judgment of senior management and its ability to attract and retain key personnel; timely receipt of any applicable governmental approvals, licences and permits (and renewals thereof); the speculative nature of cryptocurrencies in general; and the Company's ability to continue as a going concern. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on the forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws. SOL Global is not an affiliate of Solana and does not produce blockchain technology.
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
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SOURCE: SOL Global Investments Corp.
