NEXE Innovations Inc said over the weekend it will become a publicly-traded developer of fully compostable (plant-based) single-serve coffee pods for use in Keurig Brewing Systems, following its previously-announced amalgamation with Whatcom Capital Corp (CVE:WHAT.P).
The company added that, due to increased demand, it will increase its previously-announced private placement financing to C$4.5 million at a price of $0.80 per unit. Each unit will consist of one common share of NEXE and one-half of one share purchase warrant, with each whole warrant entitling the holder to purchase a common share of NEXE at a price of $1 per share for a period of 12 months from the date of closing.
In September 2020, NEXE completed a $9.1 million financing at $0.80 per unit.
The company also proposed five members for its Board of Directors:
- Darren Footz, who as Founder and CEO of NEXE Innovations also owns more than 20% of the issued and outstanding shares of NEXE
- Ash Guglani, the company’s Vice-President
- Haytham Hodaly, who is currently the Senior Vice President, Corporate Development of Wheaton Precious Metals
- Killian Ruby, CEO of Malaspina Consultants Inc
- Graham Gilley, who is currently a Director of Enterprise Risk Management and Data Protection at Vancouver’s Mulgrave School
In addition, NEXE said it plans to appoint Steve Lockhart as its COO and Raj Kang as its CFO.
NEXE Innovations, formerly known as G-PAK Technology Inc, has also developed custom automation through its European and Canadian partners, enabling NEXE to commercialize its proprietary capsules.
The company believes that the NEXE POD can eventually eradicate the waste created by single serve capsules, as its goal is to attract and sustain a significant portion of the single serve market.
It cited research from Fior Markets, which forecasts a Compound Annual Growth Rate (CAGR) of 8.5% for global coffee pod and capsule market, which is expected to reach US$29.2 billion by 2025.
Trading in the shares of Whatcom is presently halted and will remain so until the transaction is completed and approved by the Exchange.
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