XPhyto Therapeutics Corp. (CNSX:XPHY) announced that it has entered into an agreement with an investor for the issue of unsecured convertible debentures for gross proceeds of CAD 3,000,000 on December 3, 2020. The debentures will be issued at a coupon rate of 8% per annum, payable semi-annually in the transaction. The debentures will mature on the date that is two years from the date of issuance. The principal amount of the debentures is convertible at the option of the holder into common shares in the capital of the company at any time prior to the maturity date at a conversion price of CAD 1.77 per common share. Conversion of the debentures may be forced at the option of the company if the 15-day volume-weighted average price of the common shares on the Canadian Securities Exchange exceeds 250 per cent per share of the exercise price. Completion of the transaction is subject to the satisfaction of certain conditions, including notice to the Canadian Securities Exchange. The securities issued pursuant to the transaction will be subject to a statutory four-month hold period. Finders' fees will be paid in connection with the transaction pursuant to applicable Canadian Securities Exchange policies and Canadian securities regulations.