BZAM Announces Shares For Debt Transaction And Stock Option Grants

BZAM Ltd. BZAMF BZAM has agreed to issue an aggregate of 376,923 common shares of the company, at a deemed issuance price of $0.325 per common share, to settle approximately $122,500 owing to a third party supplier for certain services provided to a wholly-owned subsidiary of the company by the supplier. Such common shares will be issued in reliance on certain prospectus exemptions available under securities legislation and will be subject to a four-month plus one day statutory hold period. The issuance of such common shares to settle the indebtedness remains subject to all necessary regulatory approvals including final acceptance by the Canadian Securities Exchange.

In addition, the company has granted options to purchase an aggregate of up to 475,000 common shares to certain directors, employees, and consultants of the company, of which 300,000 options were granted to directors, and 175,000 options were granted to employees and consultants. Each option is exercisable into one common share at an exercise price per common share equal to $0.325. The options vest as to 1/3 of the total number of options granted on each of the first, second and third anniversaries of the grant date, and expire five years from the grant date. The options are granted in accordance with the company's share option plan adopted by the board of directors of the company on May 12, 2021.

Pursuant to the terms of the company's amended and restated restricted share unit plan dated October 9, 2020, restricted share units representing the right to receive up to an aggregate of 346,154 common shares, subject to the satisfaction of certain vesting conditions, were also issued to an officer of the company, as the officer elected to take RSUs instead of cash in lieu of bonus earned for fiscal 2022.

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