SPoT Coffee announces equity financing is underway


TORONTO, April 15, 2021 / CNW / – SPOT COFFEE (CANADA) LTD. (TSXV: SPP) (“SPoT” or the “Company”) announces that its previously announced non-middleman private placement offering of a maximum of 10,000,000 units (each a “unit”) at a price of CA $ 0.05 per Share for a total gross product of up to CA $ 500,000 is in progress. Each Unit will consist of one common share of SPoT (a “Common Share”) and one-half common share purchase warrant (a “warrant”). Each entire warrant issued in connection with this equity financing will allow its holder to acquire one additional common share at the price of $ 0.075 for a period of twenty-four months from the initial closing date. The warrants will include an acceleration clause to the effect that if at any time the closing price of the Common Shares on the TSX Venture Exchange is $ 0.09 or more for a period of thirty (30) consecutive days, the Company shall have the right to inform all holders of Warrants of its intention to force the exercise of the Warrants and to issue a press release to this effect, following whereby the holders of Warrants will have thirty (30) days from the date of the press release to exercise the Warrants. All common shares and warrants issued in connection with this financing will be subject to a legal hold period of four months in accordance with applicable securities laws. The closing of this private placement is expected to occur in one or more tranches and is subject to the approval of the TSX Venture Exchange.

The proceeds of this funding should be used for the following purposes:

(I)

Support and expand the Company’s 2021 franchise program;

(ii)

To repay a portion of the outstanding debentures of the Company; and

(iii)

For general working capital purposes.

About SPoT coffee

SPoT Coffee designs, builds and operates company-owned and franchised community cafes in the North East United States for over 25 years. SPoT cafes offer their customers the highest quality service, exclusive meals cooked to order and award-winning micro-roasted coffee. Each SPoT cafe is uniquely designed to suit the local neighborhood, creating a warm and friendly gathering place for the community. SPoT’s business activity is focused on the sale of roasted coffee beans to restaurant and grocery chains, sales offices and resellers such as universities and hospitals.

We are looking for Safe Harbor.

Forward-looking statements

With the exception of statements of historical fact concerning the Company, certain information contained in this document constitutes forward-looking statements. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Accordingly, there can be no assurance that the actual results obtained will be the same, in whole or in part, as those stated in the forward-looking information.

Forward-looking statements are based on the opinions and estimates of management at the date the statements are made and are subject to various risks and uncertainties and other factors that could cause actual events or results to differ. substantially from those forecast in the forward-looking forecasts. forward-looking statements. The forward-looking information contained in this press release is expressly qualified by this cautionary statement. Except as required by applicable securities laws, the Company assumes no obligation to update forward-looking statements should circumstances or management’s estimates or opinions change. The reader is cautioned not to place undue reliance on forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Café Spot SOURCE (Canada) Ltd.

For more information: [email protected] or John Lorenzo, CEO (416) 368-2220 ext 221


Carol M. Barragan