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WINNIPEG, Manitoba,, April 11, 2025 (GLOBE NEWSWIRE) -- Kane Biotech Inc. (TSX-V:KNE OTCQB:KNBIF) (“Kane Biotech” or the “Company”) announces today that it has terminated the previously announced service agreement dated January 17, 2025 (the “Previous OTBC Service Agreement”) with independent marketing firm Outside the Box Capital Inc. (“OTBC”) and entered into a new service agreement dated April 11, 2025 (the “New OTBC Service Agreement”) with OTBC to provide marketing services to communicate information about Kane to the financial community. These marketing services include digital marketing through various social media channels to broaden media distribution awareness about the Company.
Pursuant to the terms of the Previous OTBC Service Agreement, the Company paid OTBC a service fee of $100,000, which an affiliated company of OTBC then used to subscribe for 1,000,000 common shares of the Company (“Shares”) at the first closing of the Company’s recently completed private placement of Shares on January 20, 2025 (the “Offering”). Pursuant to the termination of the Previous OTBC Service Agreement, OTBC has repaid the $100,000 service fee that it was paid by Kane.
A 2024 change in the policies of the TSX Venture Exchange prohibit the issuance of Shares in connection with compensation for investor relations services. Accordingly, OTBC and the Company have agreed to terminate the Previous OTBC Service Agreement and enter into the New OTBC Service Agreement. The affiliated company of OTBC has returned the 1,000,000 Shares it subscribed for pursuant to the Offering and was repaid the $100,000 it paid for these Shares in accordance with section 4.7 of National Instrument 62-104 Take-Over Bids and Issuer Bids.
Pursuant to the New OTBC Service Agreement, OTBC will be paid $100,000 in cash, which shall be payable in quarterly installments over 12 months, and receive an option pursuant to the Company’s stock option plan to purchase 1,000,000 Shares at an exercise price of $0.10 per Share until April 11, 2026.
About Kane Biotech
Kane Biotech Inc. is a biotechnology company engaged in the research, development and commercialization of technologies and products that prevent and remove microbial biofilms. Kane has a portfolio of biotechnologies, intellectual property (65 patents and patents pending as well as trade secrets and trademarks) and products developed by Kane's own biofilm research expertise and acquired from leading research institutions. DispersinB®, coactiv+™, coactiv+®, DermaKB™, DermaKB Biofilm™, and revyve™ are trademarks of Kane Biotech Inc. Kane is listed on the TSX Venture Exchange under the symbol "KNE" and on the OTCQB Venture Market under the symbol “KNBIF”.