07:35 AM EST, 01/24/2025 (MT Newswires) -- Else Nutrition ( BABYF ) , trading near its 52-week low, overnight Thursday said it signed a non-binding term sheet with Lind Global Fund II, pursuant to which both parties expect to amended a convertible security funding agreement for US$1.2 million in proceeds.

The company and Lind expect the proposed new funding to be completed in four tranches with the initial US$300,000 to be funded by Lind upon closing, followed by three additional tranches on April 1, July 1, and Oct. 1. Else Nutrition ( BABYF ) will issue convertible securities to Lind with a face value of US$375,000 for each tranche, with each convertible security having a 24-month maturity date.

Each convertible security is convertible into common shares after the 120-day lock-up period. The company will also issue detached warrants to Lind to buy shares related to the new funding and will be exercisable for 48 months from the date of issuance with an exercise price equal to 100% of the 5-day VWAP immediately prior to the closing date.

Else Nutrition ( BABYF ) expects to use the proceeds for general working capital.

Shares of the company closed up $0.0050 or 16%, to $0.0350 on Thursday on the Toronto Stock Exchange.