TORONTO, ONTARIO, February 2, 2022 – NeuPath Health Inc. (TSXV:NPTH) (“NeuPath” or the “Company”), owner and operator of a network of clinics delivering category-leading chronic pain treatment, today announced that it has received the approval of the TSX Venture Exchange for the extension of the exercise period of a total of 7,195,000 prefunded common share purchase warrants of the Company (the “Prefunded Warrants”), all of which are exercisable at $0.0001 per common share. The Company proposes to extend the expiry dates of the Prefunded Warrants for an additional year from February 23, 2022 to February 23, 2023. All other terms of the Prefunded Warrants will remain unchanged.
The Prefunded Warrants were originally issued on February 23, 2018, as a part of a debt settlement agreement between 2576560 Ontario Inc. (now known as 5033421 Ontario Inc., a wholly-owned subsidiary of the Company) and the remaining holders of convertible debt of Viable Healthworks Canada Corp. (a wholly-owned subsidiary of the Company). For further details on the Prefunded Warrants, please refer to NeuPath’s Filing Statement dated May 29, 2020, which is available under the Company’s profile on SEDAR (www.sedar.com).
The extension of the term of the Prefunded Warrants to February 23, 2023 constitutes a “related party transaction” under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61101”) and Exchange Policy 5.9 - Protection of Minority Shareholders in Special Transactions, as a portion of the Prefunded Warrants are held by parties who are considered a “related party” (as defined in MI 61-101) of the Company. The Company has relied upon the exemptions from formal valuation and minority shareholder approval requirements of MI 61-101 contained in Sections 5.5(b) and 5.7(1)(a) of MI 61-101 as (i) the securities of the Company are not listed or quoted on one of the exchanges or markets specifically identified in MI 61-101, and (ii) at the time the transaction was agreed to, neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the Prefunded Warrants, exceeded 25% of the Company’s market capitalization (as determined under MI 61-101).
NeuPath is a vertically integrated health care provider utilizing research, data-driven insights, technology, and interdisciplinary care to help restore function for patients impacted by chronic pain, spinal injuries, sport-related injuries, and concussions. With equity ownership in seventeen clinics in Ontario and Alberta, NeuPath is building out a large-scale network to better serve patients across Canada and the United States. NeuPath is focused on transforming the hope of a better life into the reality of a life more fully lived.
For more information, please contact:
(905) 326-1888 x60
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS THE RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
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