Delic Holdings Corp (OTCQB:DELCF) (CSE:DELC) (FRA: 6X0) completed the sale of 1,240 units at a price of $1,000 per unit for aggregate gross proceeds of $1.24 million, on July 27, 2022. Each unit consists of one 4.0% senior secured, $1,064 ‎principal amount convertible debenture and 16,369 share purchase warrants.

The principal amount and accrued but unpaid interest on each debenture is ‎convertible at the option of the holder into common shares of the company at any ‎time following the closing date at a price of ‎$0.065 per common share‎. The debentures will mature 24 months from the closing date and will bear interest at a rate of 4% ‎per annum, payable quarterly on the last business day of each calendar quarter. At the maturity date, all principal amounts outstanding together with any unpaid ‎interest must be repaid. The debentures are represented by certificates and secured by security interests over substantially all of the company's assets, similar ‎security interests over the assets of its direct subsidiaries, and pledges of the shares of each of its ‎direct and indirect subsidiaries‎.‎ Each warrant entitles the holder to purchase one common share at an exercise price of $0.10 at any time up to 2 years following the closing date. ‎

The company has paid finder's fees with respect to certain of the issuances of units. Finders could elect to receive: a number of units consisting of one common share and one finder's warrant equal to 7% of the number of units sold to purchasers found by such finder, or 4% of the gross proceeds from the sale of units to purchasers found by such finder, and a number of finder's warrants equal to 7% of the number of units sold to such purchasers. Each finder's warrant entitles the holder to purchase one common share at an exercise price of $0.12 at any time up to 2 years following the closing date.‎ The company paid $46,500 in cash, and will issue 107,692 finder's warrants, to finders.

‎All securities issued in connection with the debenture offering are subject to a hold period in Canada of four ‎‎months and one day from the closing date. ‎The company will use the proceeds from the sale of the debenture units, net of expenses for expansion and general corporate purposes.\

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