Highlights;
Summary of Content in Bullet Points:
Debt Settlement Transaction Details:
- Planet Based Foods Global (OTC:PBFFF) completed debt settlement transactions with related parties Baron Global Financial Canada and Coenda Investments Holding Corp.
- Issued 15,238,094 subordinated voting shares to settle CAD $800,000 in debt.
- Shares were issued at a deemed price of $0.0525 per share, representing a 25% discount to the market price.
- The shares are subject to a four-month statutory hold period.
Rationale for the Transaction:
- The transactions aim to improve the company’s financial position by converting debt to equity.
- No immediate cash outlay was required for the debt settlement.
Regulatory Considerations:
- The transactions qualified as “related party transactions” under MI 61-101.
- The company relied on exemptions from formal valuation and minority shareholder approval requirements due to serious financial difficulties.
Positive Aspects:
- Elimination of CAD $800,000 in debt obligations.
- Improvement of the company’s balance sheet through debt-to-equity conversion.
- No immediate cash outlay required for debt settlement.
Negative Aspects:
- The 25% discount to market price indicates financial distress.
- Significant shareholder dilution due to the issuance of 15.2 million new shares.
- The company acknowledged being in serious financial difficulty.
- Related-party transactions may raise governance concerns.
Additional Information:
- The company operates in sustainable ingredients, plant-based solutions, and agricultural technology.
- The Canadian Securities Exchange has not reviewed or approved the contents of the release.
Here is a rewritten version of the content in a clean, organized format:
Summary
Planet Based Foods Global (OTC:PBFFF) has completed its previously announced debt settlement transactions with related parties Baron Global Financial Canada and Coenda Investments Holding Corp. The company issued 15,238,094 subordinated voting shares to settle a CAD $800,000 debt at a deemed price of $0.0525 per share, representing a 25% discount to the market price.
The shares are subject to a four-month statutory hold period. The company relied on exemptions from formal valuation and minority shareholder approval requirements due to serious financial difficulties, with the transactions designed to improve its financial position.
Key Points
Positive Aspects:
- Elimination of CAD $800,000 in debt obligations.
- Improvement of the company’s balance sheet through debt-to-equity conversion.
- No immediate cash outlay required for debt settlement.
Negative Aspects:
- A 25% discount to market price on share issuance indicates financial distress.
- Significant shareholder dilution through the issuance of 15.2 million new shares.
- The company acknowledged being in serious financial difficulty.
- Related-party transactions may raise governance concerns.
News Release
Vancouver, British Columbia–(Newsfile Corp. – August 28, 2025) – Planet Based Foods Global Inc. (CSE: PBF) (OTC Pink: PBFFF) (FSE: AZ00) (the “Company”) announces that it has completed its previously announced debt settlement transactions (the “Transactions”) with each of Baron Global Financial Canada Ltd. (“Baron”) and Coenda Investments Holding Corp. (“Coenda”).
Pursuant to definitive debt settlement agreements, the company issued an aggregate of 15,238,094 subordinated voting shares to settle CAD $800,000 in indebtedness owed to the creditors. The shares were issued at a deemed price of $0.0525 per share, representing a 25% discount to the market price of the company’s shares on the Canadian Securities Exchange.
All shares issued in connection with the transactions are subject to a four-month statutory hold period. The company relied on exemptions from formal valuation and minority shareholder approval requirements under MI 61-101 due to serious financial difficulties, with the transactions designed to improve its financial position.
About Planet Based Foods Global Inc.
Planet Based Foods Global Inc. is reimagining the future of food through sustainable ingredients, plant-based solutions, and advancements in agricultural technology. With a focus on environmental stewardship, product excellence, and scalable impact, the company empowers food manufacturers, partners, and consumers to participate in a cleaner, healthier, and more resilient global food system.
For more information, visit www.sedarplus.ca.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of applicable Canadian securities laws and the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results may differ materially from those expressed or implied in forward-looking statements.
FAQ
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What is the value of PBFFF’s debt settlement transaction announced in August 2025?
Planet Based Foods settled CAD $800,000 of debt by issuing 15,238,094 subordinated voting shares at $0.0525 per share. -
How many shares did Planet Based Foods (PBFFF) issue for the debt settlement?
The company issued 15,238,094 subordinated voting shares to settle the debt with Baron Global Financial Canada and Coenda Investments. -
What was the discount applied to PBFFF shares in the debt settlement?
The shares were issued at a 25% discount to the market price on the Canadian Securities Exchange. -
Why did Planet Based Foods (PBFFF) not require minority shareholder approval for this transaction?
The company was exempt from minority shareholder approval requirements under MI 61-101 due to being in serious financial difficulty, with the transaction designed to improve its financial position. -
How long is the hold period for the shares issued in PBFFF’s debt settlement?
The shares are subject to a statutory hold period of four months and one day from the date of issuance.
