NovAccess Global Inc. announced that it has entered into a securities purchase agreement for a private placement of convertible promissory note for gross proceeds of $55,000 on best-efforts basis on November 7, 2022. The transaction included participation from returning investor 1800 Diagonal Lending, LLC. The note bears interest at 8% a year and is due on November 1, 2023.

Beginning on April 30, 2023, 1800 Diagonal Lending may convert the amount outstanding under the note into shares of common stock at a conversion price equal to 65% of the average of the three lowest trading prices of the stock during the fifteen trading days before the conversion date. The company will reimburse expenses of 4,250 for investor legal fees and due diligence fee. The company may prepay the note upon payment of a prepayment penalty ranging from 15-25% of the amount outstanding on the note when prepaid.