Planting Hope (MYLK) Announces New Private Placement and Signs Memo of Understanding for Equity Investment and Credit Facility

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CHICAGO, IL AND VANCOUVER, BC / ACCESSWIRE / April 2, 2024 / The Planting Hope Company Inc. (TSXV:MYLK)(OTCQB:MYLKF)(FRA:J94) ("Planting Hope" or the "Company") is pleased to announce its execution of a Memorandum of Understanding ("MOU") with a US-based investment fund (the "Fund") to secure up to $7M USD (~$9.5M CAD) in financing.

Subject to the completion of due diligence, the receipt of all required regulatory, third party and other approvals, and satisfaction of certain other conditions, the Fund has agreed to act as lead investor together with other US based investors to provide $2M USD ($2.7M CAD) in equity capital through participation in the Offering (as defined below) and $5M US ($6.75M CAD) in debt financing (the "Debt Financing"). The Debt Financing is expected to consist of a $5M US revolving credit facility for a period of 24 months on terms to be finalized between the Company and the Fund.
Based in Phoenix, Arizona, the Fund has more than $1.25B in assets under management and more than $700M in available uncommitted capital.

Additionally, due to increased demand and the participation of the Fund and other US based investors, the Company is also pleased to clarify that, further to its press releases dated March 22, 2024, February 9, 2024 and January 19, 2024, it did not proceed with and has cancelled its previously announced private placement and the Company is pleased to announce that it is instead conducting a new private placement of units of the Company ("Units") to comprise up to an aggregate of 80,000,000 Units at a price per Unit of $0.10 CAD for aggregate gross proceeds of up to $8M CAD (~$5.9M US) (the "Offering").

Each Unit shall consist of one subordinate voting share in the capital of the Company (each, a "SVS") and one subordinate voting share purchase warrant (each, a "Warrant"). Each Warrant shall entitle the holder to acquire one additional subordinate voting share at an exercise price of C$0.15 for a period of 24 months from the closing date of the Offering.

"Our management team and board of directors are pleased to bring this new financing opportunity to The Planting Hope Company," said Julia Stamberger, co-founder and CEO, The Planting Hope Company. "We believe that this new infusion of capital positions Planting Hope to grow profitably in its key target channels, including Foodservice, taking advantage of demand to scale inventory and operations, and to perfect some breakthrough product innovation that Foodservice channel customers have requested."