Forte Group: Insider Participation in Private Placement Bolsters Financial Flexibility

Forte Group Holdings Inc. (CSE:FGH)(OTC:FGHFF)(FSE:7BC0, WKN:A40L1Z), a diversified lifestyle and wellness consumer packaged goods company, has successfully closed its previously announced non-brokered private placement. The company raised $375,000 through the issuance of 624,999 common shares at $0.60 per share. The proceeds will be allocated towards general working capital purposes ($45,000) and current and anticipated payables ($330,000).



CEO Marcello Leone participated in the offering, acquiring 28,333 common shares. This transaction was classified as a "related party transaction" under Multilateral Instrument 61-101 (MI 61-101) but was exempt from valuation and minority shareholder approval requirements due to the company's market capitalization.

The company's use of exemptions under MI 61-101 streamlined the valuation and approval process for the private placement. By relying on the exemption from the formal valuation requirement (Section 5.5(b)) and the exemption from minority shareholder approval (Section 5.7(a)), Forte Group Holdings was able to expedite the process and reduce associated costs.

Forte Group Holdings' strategic allocation of funds and insider participation in the private placement reflect the company's commitment to maintaining financial flexibility and addressing short-term financial obligations. By raising capital through a private placement, the company demonstrates its ability to access capital markets and secure funding for its operations and growth initiatives. The successful completion of the private placement also indicates the company's strong financial position and its ability to attract investors.

In conclusion, Forte Group Holdings' non-brokered private placement with insider participation bolsters the company's financial flexibility and demonstrates its commitment to maintaining liquidity and addressing short-term financial obligations. The company's use of exemptions under MI 61-101 streamlined the valuation and approval process, enabling a faster closing of the private placement. As Forte Group Holdings continues to execute its strategic objectives, investors should monitor the company's progress and assess its potential for future growth and success.