UGE International Ltd. announced a non-brokered private placement of 6.5% convertible debentures for gross proceeds of CAD 2,000,000 on November 12, 2021. The debentures are unsecured, mature on October 31, 2023, and accrue interest at the rate of 6.5% per annum. Certain directors and officers subscribed for a total of CAD 46,000 in principal amount of the debentures. The principal amount of the debentures is convertible into common shares of the company at the option of the holder at a conversion price of CAD 1.80. Any accrued but unpaid interest on the principal amount may also be converted at the option of the holder and would be converted at the trading price of the company's common shares at the time a notice of conversion for such interest is provided to the company. Furthermore, following 12 months from their date of issuance, the debentures may be redeemed by the company should its common shares have a 20-day volume weighted average trading price of CAD 2.40 or higher. The debentures, and any common shares issued upon conversion of the debentures during the hold period, are subject to a four month and one day hold period from the date of the issuance of the debentures.