Highmark Interactive Inc. announced a private placement of 8% convertible note for the gross proceeds of CAD 600,000 on December 19, 2022. The transaction included participation from management and directors of the company. The interest on the note will be paid semi-annually for a term of two years with a conversion price based on future equity issuance.

The price at which the note may be converted will not be less than the greater of CAD 0.09 and the offering price of an equity financing in year one of the note or CAD 0.10 and the offering price of an equity financing in year two of the note. The transaction is subject to final approval of the TSX Venture Exchange. TSX Venture Exchange has accepted for filing documentation with respect to the transaction.

The transaction included participation from 5 placees and existing insider involvement for 6,222,222 shares from four placees.