Healthy Extracts Inc. announced that it has entered into a securities purchase agreement for a private placement of Convertible Promissory Note for gross proceeds of $388,888 on January 24, 2023. The transaction includes participation from two investors. The company will also issue warrant to acquire 7,421,544 common shares at an exercise price of $0.04716 per share.

The Notes contained an original issue discount of 10%, and thus the proceeds was $350,000. The Notes do not bear interest unless we are in default, have a maturity date of October 24, 2023, and all amounts are payable on the maturity date. The Notes are convertible into our common stock at the election of the holder at means 90% of the lowest VWAP of our common stock for the five consecutive Trading Days immediately preceding the date of the issuance of a Conversion Election.