Wildpack Provides Update Regarding Proposed Restructuring Transaction

VANCOUVER, BC / ACCESSWIRE / October 9, 2024 / Wildpack Beverage Inc. (TSXV:CANS)(OTC PINK:WLDPF)("Wildpack" or the"Company") a leading middle market co-packer of canned goods, announces, further to its press release dated July 5, 2024 (the "Previous Release"), an update regarding the Company's proposed restructuring transaction (the "Debenture Restructuring Transaction") with respect to its outstanding 8.00% convertible unsecured subordinated debentures in the aggregate principal amount of $45,007,000 (the "Debentures"), which were issued pursuant to a convertible debenture indenture between the Company and Computershare Trust Company of Canada (the "Base Indenture") dated as of June 30, 2021, which provides for the issuance of one or more series of unsecured subordinated debentures of the Company, along with supplemental indentures dated August 27, 2021, November 23, 2021 and March 31, 2022 (collectively, the "Indenture").

Foto: Accesswire

The Company provides an update below regarding the multiple components of the Debenture Restructuring Transaction.

Amended Sandton Loan
The Company has entered into a third amended and restated loan agreement dated June 26, 2024 among the Company, through its wholly-owned subsidiaries, and Sandton Credit Solutions Master Fund V, LP (the "Lender"), an affiliate of Sandton Capital Partners, L.P. ("Sandton"), (as amended, restated, joined, supplemented or otherwise modified from time to time, the "Third A&R Loan Agreement").

The Third A&R Loan Agreement reflects the following principal changes (collectively, the "Amended Sandton Loan"):

(a) increasing the size of the facility under the Sandton Loan by US$4,000,000;

(b) amending the terms of conversion terms of the Sandton Loan such that a portion of the increased facility pursuant to the Amended Sandton Loan in the amount of US$3,500,000, will be convertible into up to 70% of Thirsty Cat LLC (the "Equity Purchase Option"), and the formerly convertible US$25,000,000 tranche of the Sandton Loan will no longer be convertible and will instead be term debt; and

(c) extending the term of the Sandton Loan to May 23, 2027 (in respect of the original US$25,000,000 tranche) and to October 10, 2026 (in respect of the Tranche 2 Loan);

(d) increasing the interest rate under the Sandton Loan to 15% per annum;

(e) waiver of covenants until January 1, 2025; and

(f) interest paid-in-kind to extend until January 1, 2025.

For additional details regarding the Sandton Loan, please refer to the Company's press releases dated April 19, 2023, October 11, 2023, and December 1, 2023.