New Risk • May 12
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Canadian stocks, typically moving 18% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (18% average weekly change). Negative equity (-CA$49m). Earnings have declined by 67% per year over the past 5 years. Revenue is less than US$1m (CA$183k revenue, or US$133k). Minor Risk Market cap is less than US$100m (CA$20.5m market cap, or US$15.0m). Board Change • Apr 19
Less than half of directors are independent Following the recent departure of a director, there are only 2 independent directors on the board. The company's board is composed of: 2 independent directors. 3 non-independent directors. Independent Director Dominique Primeau was the last independent director to join the board, commencing their role in 2023. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Apr 15
Prime Drink Group Corp. announced that it expects to receive CAD 4 million in funding Prime Drink Group Corp. announced a non-brokered private placement to issue minimum of 10 units at an issue price of CAD 250,000 for gross proceeds of CAD 2,500,000 and maximum of 16 units at an issue price of CAD 250,000 for gross proceeds of CAD 4,000,000 on April 14, 2026. Each unit will consist of one CAD 250,000 unsecured convertible debenture and 3,571,429 share purchase warrants. Each debenture will have a term of 24 months and will bear interest at a rate of 7% per annum, payable in cash. At the option of the issuer, the principal amount of each debenture may be converted, at any time during the term, into common shares of the company at a price of CAD 0.055 per share. Each warrant will entitle the holder to acquire one share at a price of CAD 0.07 per share at any time during the term. The company will pay a cash finder’s fee in connection with the closing of the private placement equal to 6% of the gross proceeds received from subscribers introduced to the company by arm’s-length finders. The securities underlying the units issued pursuant to the private placement will be 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 private placement is subject to the final approval of the Canadian Securities Exchange and any other applicable regulatory approvals. 
