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  • Kiaro Holdings (KO) has announced a private placement of convertible debenture units for minimum gross proceeds of $3,000,000
  • Research Capital Corporation will be the lead agent and sole bookrunner for the offering
  • Each debenture unit consists of one 8 per cent senior unsecured convertible debenture and 3,846 share purchase warrants
  • The warrants are subject to an acceleration clause
  • Kiaro will grant the agents an over-allotment option to purchase up to 15 per cent of additional debenture units
  • The offering is expected to close on or about October 28, 2021
  • Kiaro Holdings is an independent, omnichannel cannabis retailer and distributor with storefronts across British Columbia, Saskatchewan and Ontario
  • Kiaro Holdings Corp. (KO) is up 5.26 per cent, trading at C$0.10 per share at 4 pm ET

Kiaro Holdings (KO) has announced a private placement of convertible debenture units for minimum gross proceeds of $3,000,000.

The company has appointed Research Capital Corporation as the lead agent and sole bookrunner.

Each debenture unit, priced at $1,000, consists of one 8 per cent senior unsecured convertible debenture and 3,846 share purchase warrants. Each warrant entitles the holder to purchase one common share at a price of $0.16 for a period of three years following the closing date of the offering.

The warrants are subject to an acceleration clause. If, after 1 year from the date of closing of the offering the thirty-day volume-weighted average price of the shares is greater than $0.26, Kiaro shall have the right to convert some or all of the then outstanding convertible debentures into shares.

Kiaro will grant the agents an over-allotment option to purchase up to 15 per cent of additional debenture units at any time prior to the 30 days following the closing date.

The net proceeds from the offering will be used for working capital and general corporate purposes.

Daniel Petrov, Chief Executive Officer of Kiaro commented on the offering.

“We are excited to welcome Research Capital, another major institutional partner, to help meet the demand for Kiaro’s unique cannabis retail experience.  The additional funds will align Kiaro’s best in class operating standards across a growing portfolio of stores, including the 10 locations we recently acquired in Ontario.”

The offering is expected to close on or about October 28, 2021.

The debenture units to be issued under the offering will be offered in each Canadian province. The securities will not be registered under the United States Securities Act.

Kiaro Holdings is an independent, omnichannel cannabis retailer and distributor with storefronts across British Columbia, Saskatchewan and Ontario.

Kiaro Holdings Corp. (KO) is up 5.26 per cent, trading at C$0.10 per share at 4 pm ET.

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