Prime Drink Group Announces Closing of $1.8 Million Private Placement

/EIN News/ -- MONTREAL, March 26, 2025 (GLOBE NEWSWIRE) -- Prime Drink Group Corp. (CSE: PRME) (“Prime” or the “Company”) announces that it has closed a non-brokered private placement (the “Offering”) of units of the Company (each, a “Unit”) for gross proceeds of $1,810,276.

The Offering consisted of the sale of 1,811 Units at a price of $999.60 per Unit resulting in the issuance of 10,648,680 common shares of the Company (the “Common Shares”) and 7,244,000 transferable share purchase warrants (the “Warrants”). Each Warrant entitles the holder to purchase one Common Share at a price of $0.25 per Common Share for a period of two (2) years from the closing date of the Offering. Each Unit was comprised of 5,880 Common Shares and 4,000 Warrants.

“This financing reflects strong investor confidence in our long-term growth strategy as we continue to work on growing our water, beverage, and influencer media activities,” said Alexandre Côté, President and CEO of Prime.

In connection with the Offering, the Company paid cash finders’ fees totaling $64,174 to arm’s length finders, representing 6% of the proceeds received by the Company from subscribers to the Offering introduced to the Company by such finders.

The securities underlying the Units issued pursuant to the Offering are subject to resale restrictions, including a hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws. The Company intends to use the net proceeds of the Offering to develop its business and for general working capital purposes.

Alexandre Côté, Garry Turpin and Germain Turpin, each an officer of the Company, purchased an aggregate of 641 Units of the Offering for gross proceeds of $640,744. The participation by such insiders in the Offering constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Such transaction is exempt from the minority approval and formal valuation requirements pursuant to the exemptions contained in Sections 5.5(a) and 5.7(1) of MI 61-101, as neither the fair market value of the Units nor the consideration for the Units paid by such interested parties, exceeded 25% of the Company’s market capitalization.

Board Resignation

Mr. Jean-Denis Côté has resigned as a member of the Board of Directors of the Company (the “Board”) to pursue other opportunities. The Board thanks Mr. Côté for his contribution and wishes him all the best in his future endeavours.

About Prime Drink Group
Prime Drink Group Corp (CSE: PRME) is a Québec-based corporation focused on becoming a leading diversified holding company in the beverage, influencer media and hospitality sectors.

NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES. THIS NEWS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY OF THE SECURITIES IN THE UNITED STATES. THE SECURITIES HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE “U.S. SECURITIES ACT”) OR ANY STATE SECURITIES LAWS AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED UNDER THE U.S. SECURITIES ACT AND APPLICABLE STATE SECURITIES LAWS OR AN EXEMPTION FROM SUCH REGISTRATION IS AVAILABLE. THIS NEWS RELEASE DOES NOT CONSTITUTE AN OFFER OR SALE OF SECURITIES IN THE UNITED STATES.

For further information, please contact:
Jean Gosselin, Secretary
Phone: (514) 394-7717
Email: info@prime-group.ca

Forward-Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations (including negative and grammatical variations) of such words and phrases or statements that certain acts, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking information in this press release may include, without limitation, statements relating to the intended use of proceeds of the Offering.

These statements are based upon assumptions that are subject to significant risks and uncertainties, including risks regarding the beverage industry, market conditions, availability of financing to the Company on acceptable terms, general economic factors, and the equity markets generally. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance of Prime may differ materially from those anticipated and indicated by these forward-looking statements. Any number of factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although Prime believes that the expectations reflected in forward-looking statements are reasonable, they can give no assurances that the expectations of any forward-looking statements will prove to be correct. Except as required by law, Prime disclaims any intention and assumes no obligation to update or revise any forward-looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward-looking statements or otherwise.

Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.