DelphX Announces the Completion of Shares for Debt Issuance

Toronto, Ontario--(Newsfile Corp. - June 23, 2021) - DelphX Capital Markets Inc. (TSXV: DELX) ("DelphX") today announces that further to its news release dated June 7, 2021, it has completed the issuance of 626,809 common shares (the "Shares") (the "Issuance") to former convertible debt holders of DelphX in settlement of accrued interest totaling $147,300. The Shares were issued at a deemed price of $0.235 each, being the discounted market price of the Shares under the policies of the TSX Venture Exchange at the date of the news release issued June 7, 2021.

A portion of the Issuance, being 510,638 Shares with deemed value of $120,000, was to parties who are considered to be "related parties" of DelphX, and therefore constitutes a "related-party transaction" within the meaning of TSXV Policy 5.9 and Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions. However, the exemptions from formal valuation and minority approval requirements provided for can be relied upon as the fair market value of the Issuance to related parties does not exceed 25% of the market capitalization of DelphX.

The Issuance will not result in a new Control Person, and subsequent to the Issuance, DelphX will have 108,299,543 common shares outstanding.

About DelphX:

DelphX is a technology and financial services company focused on bringing new and exciting alternatives to structured product and credit markets. Through its special purpose vehicle Quantem and its broker-dealer DelphX Services Corp., it enables fixed income dealers to offer new Rule 144A securities that optimally transfer and diffuse credit risk, while allowing the enhancement of yield. The new DelphX platform will be regulated by the SEC and enable dealers to competitively structure, sell and make markets in:

• Covered Put Options (CPOs) that provide secured default protection for underlying corporate, municipal and sovereign securities, and
• Covered Reference Notes (CRNs) that enable credit investors to take on the default exposure of a single underlying security in exchange for enhanced yield.

All CPOs and CRNs will be collateralized and held in custody by an independent custodian. CPOs and CRNs are proprietary products created and owned by DelphX Capital Markets Inc.

For more information about DelphX, please visit www.delphx.com.

Contact:

Patrick Wood, President & CEO
DelphX Capital Markets Inc.
P: 416.473.9133
E: patrick.wood@delphx.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/88408