Happy Belly Food Group Inc. announced a non-brokered private placement of convertible debentures at a principal amount of CAD 1,000 for the gross proceeds of CAD 2,000,000 on June 10, 2024. The debentures will have a coupon rate of 12% and will have a conversion price of CAD 0.75 per share. On the Maturity Date, any outstanding principal amount of the Debentures, plus any accrued and unpaid interest, shall be paid in cash.

The debentures will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation. No broker fees, warrants, or finders' fees will be paid in the closing of the Private Placement. The transaction included participation from new investor, K2 & Associates Investment Management Inc.