BFYW Announces Substantial Debt Elimination to Strengthen Its Balance Sheet

BFYW Announces Substantial Debt Elimination to Strengthen Its Balance Sheet
July 19, 2023

Columbus, Ohio--(Newsfile Corp. - July 19, 2023) - Better For You Wellness, Inc. (OTCQB: BFYW) (the "Company"), a leading Ohio plant-based and science-focused wellness company operating in the rapidly-growing $1.5 trillion wellness industry, is pleased to announce the reduction of $526,103 of debt, representing over 30.55% of the Company's total liabilities as of the Company's 2023 fiscal year ended February 28, 2023 (the "Debt Reduction"). The Debt Reduction was facilitated via the issuance of 14,219,002 restricted common shares at $0.037 per share, representing a conversion price that is a significant premium to the last traded price per share.

The Company's Board of Directors unanimously authorized the Debt Reduction, demonstrating their confidence that its common shares are currently undervalued.

During the Company's 2023 Fiscal Year, Independent Board Member and Audit Committee Chair David Deming extended a short-term loan of $195,000 to the Company. Additionally, Chairman and CEO Ian James and Chief Branding Officer Stephen Letourneau accumulated deferred compensation of $186,096, and $145,007, respectively. Deming, James, and Letourneau converted the entirety of their loan and deferred compensation amounts. These conversions resulted in the elimination of $526,103 in liabilities from the Company's balance sheet.

The Debt Reduction strengthens the Company's balance sheet and allows the Company to focus on growth initiatives, including its skincare production, marketing, and implementation of operational efficiencies while preparing for highly anticipated upcoming acquisitions.

"Retiring debt and investing in the growth of our brands is pivotal for enhancing shareholder value. The decision to convert a substantial portion of the Company's debt into restricted Common Shares at approximately 300% of the current per-share price showcases our leadership's commitment to the Company and its shareholders. We believe this benefits the Company tremendously, enhances shareholder value, and sends a powerful message to the market as we grow our wellness portfolio."

Furthermore, the Company anticipates the closing of its previously announced acquisition of The Ideation Lab, which includes incubated wellness brands such as its functional beverage line, Stephen James Curated Coffee Collection, which recently announced the beginning of sales in select Kroger Co. stores.