KELOWNA, BC — March 9, 2026 — Leads & Copy — Avant Brands Inc. (TSX:AVNT)(OTCQX:AVTBF)(FRA:1BU0) has entered into a debt settlement agreement with an institutional investor to retire a significant portion of its largest remaining debt obligation.
The transaction, expected to close in March, will extinguish approximately $1.77 million of the company’s amended and restated unsecured convertible debenture through the issuance of 1,900,000 units at a deemed price of $0.935 per unit, representing a premium to the current market price of the company’s common shares.
Upon the expected closing, Avant’s total outstanding principal balance with its lenders will consist solely of approximately $900,000 on the debenture (reduced from $3.9 million) and approximately $728,000 on its Secured Credit Facility (reduced from $3.5 million).
Avant’s CEO Norton Singhavon stated that reducing the company’s largest debt obligation is a key component of its capitalization strategy and demonstrates the strong confidence their institutional partners have in Avant’s long-term trajectory.
Prior to this agreement, the debenture was the company’s largest debt obligation with an approximate outstanding balance of $2.7 million. Upon closing, $1,776,500 will be extinguished from the principal balance.
The remaining outstanding principal balance of approximately $0.9 million will be repaid in normal course and remains governed by the terms of the amended and restated convertible debenture dated April 21, 2025.
Each unit will be comprised of one share and one-half of one share purchase warrant at a deemed price of $0.935 per unit. Each full warrant has a term of 5 years, commencing on the closing date of the transaction, and entitles the creditor to purchase one share at a price of $0.935. The warrants are subject to an acceleration provision whereby the expiry date may be accelerated to 30 days if the volume-weighted average trading price of the company’s shares trading on the TSX is equal to or greater than $1.75 for ten consecutive trading days.
All securities issued in connection with the transaction will be subject to a statutory hold period of four months and one day in accordance with applicable Canadian securities laws.
The closing is subject to customary closing conditions, including the final approval of the TSX. Shareholder approval is not required.
Avant Brands Inc. is a cannabis company with multiple production facilities across Canada. Avant offers a diverse product portfolio catering to recreational, medical, and export markets. Its consumer brands include blk mkt™, Tenzo™, Cognōscente™, flowr™, and Treehugger™.
Avant’s international footprint spans Australia, Israel, and Germany. Avant also serves qualified medical patients nationwide through its Avant medical cannabis brand.
Avant is listed on the Toronto Stock Exchange (TSX), the OTCQX Best Market (OTCQX), and the Frankfurt Stock Exchange (FRA). The company is headquartered in Kelowna, British Columbia.
Source: Avant Brands Inc.
