Deepspatial Announces Closing of Final Tranche of Convertible Debenture Financing

TORONTO, ON / ACCESSWIRE / March 27, 2023 / Deepspatial Inc. (CSE:DSAI)(OTCQB:DSAIF) ("Deepspatial" or the "Company") announces it has closed the final tranche of a non-brokered private placement of unsecured convertible debentures (each, a "Debenture") of the Company for gross proceeds of $102,750 (the "Financing").

The Debentures will bear interest at 10% per annum, from the date of issuance (the "Closing"), payable upon the earlier of the Maturity Date (as defined below) or the date of any conversion thereof. The Debentures will mature on the date that is two years from the date of issuance (the "Maturity Date").

Until the Maturity Date, the holders of the outstanding Debentures may convert the principal into units of the Company (each, a "Unit") at a conversion price of $0.15 per Unit (the "Conversion Price"), with each Unit consisting of one common share in the capital of the Company (each, a "Share") and one-half of one share purchase warrant (each whole warrant, a "Warrant"), with each Warrant exercisable into one Share (each, a "Warrant Share") at a price of $0.30 per Warrant Share for a period of two years from the date of the Closing.

In the event that the Shares close at a trading price of at least $0.30 for 10 consecutive trading days, the Company may cause the Debentures to be converted into Units at the Conversion Price upon the Company delivering a notice (a "Forced Conversion Notice") to the Debenture holders not less than a minimum of 30 days and a maximum of 60 days prior to the conversion date specified in such Forced Conversion Notice.

All securities issued in connection with the final tranche will be subject to a hold period expiring July 25, 2023. The proceeds of the Financing are for general working capital.

About Deepspatial

Deepspatial is an outcome based artificial intelligence company, enabling organizations to enhance their decision-making capabilities by leveraging the power of data and AI. From finding the most efficient supply chain routes to knowing where to develop next, Deepspatial's AI-driven platform enables its clients to visualize what's going on, predict what's coming, analyze data, and optimize processes to make smarter decisions for a better future. For more information, visit www.Deepspatial.ai and follow us on Twitter, Instagram or LinkedIn.