CareSpan Health, Inc. announced a private placement of an unsecured convertible loan of gross proceeds of $100,000 on June 29, 2023. The transaction will include participation from returning indidividual investors, William Bradford White for $50,000 and Rembert de Villa for $50,000. The loan is unsecured and matures in one year from the date of issuance, when the principal and all accrued and unpaid interest are due in full.

The loan bears interest at a rate of 12 per cent per annum. Payment of the loan and accrued interest may be accelerated by the company at any time without any penalty. Pursuant to the terms of the loan, the lenders have the option in the future to convert, fully or partially, the outstanding loan and accrued interest into common shares in the capital of the company solely during periods in which the company is undergoing a qualified equity financing by way of debt, equity or some combination thereof for aggregate gross proceeds of at least $1,000,000.

If the conversion option is exercised by the lenders, the company will be required at that time to make an application for approval of the conversion option by the TSX Venture Exchange in accordance with its applicable policies.