Saturday 30 September 2023

NEXE announces warrant amendment approval and clarifies trigger price

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VANCOUVER, BC, Canada – NEXE Innovations Inc., a compostable and innovative materials company, is pleased to announce that further to its news release dated March 20, 2023, it has received the approval of holders (“Warrantholders”) holding approximately 71.5% of its outstanding warrants issued on April 9, 2021 (the “Warrants”) to the amendment of certain terms of the Warrants (the “Amendments”).

The Warrants have been amended such that the exercise price of the Warrants has been revised from $2.50 to $0.65 per share and the expiry date extended from April 9, 2023 to April 9, 2024.

The terms of the Warrants have also been amended to include a mandatory acceleration provision (the “Acceleration Provision”) as required under the policies of the TSX Venture Exchange (the “TSXV”) pursuant to which, if for any ten consecutive trading days (the “Premium Trading Days”) following the date hereof, the closing price of the Company’s common shares on the TSXV exceeds $0.78, the expiry date of Warrants will be accelerated such that holders will have 30 calendar days to exercise the Warrants (if they have not first expired in the normal course).

NEXE Innovations Inc. will announce any acceleration of the expiry date by press release and the 30-day period will commence seven days after the last Premium Trading Day.

The Company would like to clarify that while it had previously announced that the trigger price for the Acceleration Provision would be $0.8125 and the trigger price approved by Warrantholders was reduced to $0.78 to comply with TSXV requirements.

Effective April 9, 2023, the Company entered into a supplemental indenture to effect the Amendments with TSX Trust (the “Warrant Agent”), as warrant agent, to the warrant indenture governing the Warrants dated April 9, 2021 between the Company and the Warrant Agent.

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