Ms. Ashley Garnot reports
LQWD ANNOUNCES CLOSING OF NON-BROKERED PRIVATE PLACEMENT
LQWD Technologies Corp. has closed its previously announced non-brokered private placement financing of $2-million.
Under the private placement, the company issued an aggregate of two million units of the company at a price of $1 per unit to raise gross proceeds of $2-million. Each unit consists of one common share of the company and one common share purchase warrant. Each warrant is exercisable into one common share at an exercise price of $1.25 per share at any time up to 24 months following the closing date of the private placement. The shares and warrants from the private placement are subject to a four-month hold period before becoming free trading.
If the volume weighted average trading price of the common shares on the TSX Venture Exchange is equal to or greater than $2 for a period of 10 consecutive trading days, the company will have the right to accelerate the expiry date of the warrants by giving written notice that the warrants will expire on the date that is not less than 10 days from the date notice is provided by the company to the warrantholder.
The net proceeds from the private placement will be used for additional bitcoin purchases, which the company intends to deploy on the Lightning Network to generate yield and strengthen its continuing treasury strategy, and for general working capital purposes.
In connection with the private placement, the company paid an aggregate legacy finder's fee of $35,000 in cash and $450 in administrative fees to various finders. The private placement is subject to final approval from the TSX-V.
Matthew Whitcomb, LQWD's vice-president of capital markets and corporate development, participated in the private placement by purchasing 10,000 units for an aggregate subscription price of $10,000 and, accordingly, the private placement constitutes a related party transaction for the company within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company is exempt from the requirements to obtain a formal valuation and minority shareholder approval under MI 61-101 as the fair market value of Mr. Whitcomb's participation in the private placement does not exceed more than 25 per cetn of the market capitalization of the company, as set forth in sections 5.5(a) and 5.7(1)(a) of MI 61-101.
About LQWD Technologies Corp.
LQWD Technologies is a Canadian-domiciled reporting public company with offices in Vancouver, Canada, and Lugano, Switzerland. The company has approximately 31.9 million shares outstanding and 42.7 million shares fully diluted, and maintains a strong balance sheet with no outstanding debt, convertible bonds or debentures.
The company's shares trade in Canada on the TSX Venture Exchange under the symbol LQWD and on the OTCQX Market in the United States under the symbol LQWDF.
LQWD is advancing bitcoin adoption through the Lightning Network, a second-layer solution that enables instant, low-cost transactions at global scale. As one of the first companies dedicated to building, launching and expanding core Lightning Network infrastructure, LQWD operates a network of enterprise-grade nodes and network liquidity, which earn transaction fees.
With a strategic bitcoin holding and infrastructure positioned for effectively unlimited scalability, LQWD offers investors unique exposure to both the potential long-term appreciation of bitcoin and the emergence of Lightning-based payment technology.
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