Trees Corporation announced a a non-brokered private placement of units for gross proceeds of up to CAD 1,000,000 on October 21, 2022. Each unit consists of (i) one 12.% secured convertible promissory note bearing a principal amount of CAD 1,000, convertible into common shares of the company at a conversion price of CAD 0.015 per common share and maturing thirty-six months from the closing of the private placement; and (ii) 66,667 common share purchase warrants of the company. Each warrant entitles the holder thereof to purchase one common share at a price of CAD 0.015 per share until October 20, 2025, subject to acceleration. Completion of the transaction is subject to the satisfaction of certain conditions precedent, including, but not limited to, receipt of all necessary regulatory approvals, including approval of the NEO. The company paid a finder's fee of CAD 7,000 in cash to certain finders in connection with the closing of the transaction.

On the same day, the company has issued 200 units at a price of CAD 1,000 per unit for gross proceeds of approximately CAD 200,000.