VPR Brands, LP announced it has entered into definitive agreement with Daiagi for private placement of an unsecured promissory note for gross proceeds of $250,000 on May 18, 2022. The notes issued are termed as Daiagi Note. The principal amount due under the note bears interest at the rate of 18% per annum.

The principal amount and accrued but unpaid interest to the extent not converted in accordance with the terms of the Note is due and payable on the third anniversary of the issue date. The note and the amounts payable thereunder are unsecured obligations of the Company. At any time after the first anniversary of the issue date, the holder may require the Company, upon at least 30 business days' written notice, to redeem all or any portion of the Note.

The portion of the note subject to redemption will be redeemed by the Company in cash.