Playground Ventures Announces Appointment of Chief Financial Officer and Loan Agreements

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Toronto, Ontario–(Newsfile Corp. – August 26, 2022) – Playground Ventures Inc. (CSE: PLAY) (the “Company” Where “Playground“) announces that further to its press release dated June 17, 2022, due to unforeseen circumstances, Ms. Kaylee Whitcroft is unable to continue as Chief Financial Officer of the Company. Mr. Whitcroft will continue as Chief Financial Officer of the accounting of the company’s operations The Company and the board of directors have begun the search to find a replacement for Ms. Whitcroft. The board of directors has approved the appointment of Mr. Jon Gill as interim chief financial officer of the Company.

In addition, the Company announces that it has issued secured promissory notes (the “Deck Notes“) to certain lenders (the “Lenders“) of the Company for proceeds available to the Company of up to $70,000 (the “Ready“). The Loan has a term until December 31, 2022 (the “Term“), and is secured by all assets of the Company. The Company may draw on the available proceeds of the loan from time to time during the term, and any amount unpaid under the Bridge Note will bear interest at 8% per annum. , payable together with any unpaid principal at the end of the term.

The loan contains certain other customary financial and other covenants and will be used for general working capital purposes. Bridging Notes are intended to provide immediate capital to the Company while it seeks additional sources of capital, which may include the future issuance of other debt or equity securities, including without limitation , a formal credit facility, whether with lenders or otherwise, to meet the Company’s long-term capital needs.

One of the Lenders is a director, officer and shareholder (the “Insider subscription“) of the Company. The Insider Subscription is considered a “transaction with a related person” as defined by the Multilateral Instrument 61-101 – Protection of holders of minority securities in special transactions (“MI 61-101The Company relied on the exemptions from the formal valuation and minority shareholder approval requirements contained in sections 5.5(b) and 5.7(1)(e) of NI 61-101, as the Company is not listed on a specific market and the The Company is in financial difficulty The Company has not filed a material change report more than 21 days prior to the issuance of the Bridge Notes, as the details of the underwriting of insider mentioned above were not settled until shortly before the closing, and the Company wished to close on an accelerated basis.

The loan was approved by the members of the Company’s board of directors who are independent for the purposes of the loan, being all directors other than Mr. Gill. No special committee has been established in connection with the Bridge Notes, and no materially contrary views or abstentions have been expressed or made by any director of the Company with respect thereto.

For more information, please contact:

Jon Gill, Interim President and CFO

Tel: 416-361-1913

E-mail: [email protected]

Forward-looking information

This press release contains certain “forward-looking information” within the meaning of applicable securities laws. Forward-looking information is often characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “will”, “potential”, “proposed” and other similar words, or statements that certain events or conditions “may” or “will” occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management as of the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause events or actual results differ materially from those projected in the forward-looking information. – search for information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company’s MD&A. The Company undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change, except as required by law. Readers are cautioned not to place undue reliance on forward-looking information.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/135093

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