NowVertical closes $15.1M private placement final tranche

NowVertical Group Inc. (TSXV: NOW) has closed the second and final tranche of its brokered private placement, issuing 10,000 convertible debenture units for gross proceeds of $10,000,000.

Combined with a prior issuance of 42,500,000 units on October 20, 2026, the offering raised total gross proceeds of $15,100,000. Clarus Securities Inc. served as sole agent and bookrunner for the offering and received a cash commission of $297,950 for its role in the convertible debenture unit portion.

Each convertible debenture unit consists of $1,000 principal in 10% senior unsecured convertible debentures and 2,500 share purchase warrants. The debentures mature 36 months from closing and are convertible into Class A Subordinate Voting Shares at $0.20 per share. Each warrant entitles the holder to acquire one subordinate voting share at $0.25 for 36 months from closing.

Certain directors, officers, and their affiliates participated in the convertible debenture unit portion, acquiring 616 convertible debenture units, constituting a related party transaction under Multilateral Instrument 61-101. The company said the transaction qualifies for exemptions from valuation and minority shareholder approval requirements under that instrument.

The company stated it intends to use net proceeds to strengthen its balance sheet, support its growth strategy, and for working capital and general corporate purposes.

According to a statement from the company, Kingsley Ward has joined the board as Executive Chairman in connection with the offering.

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