CEVAS Technology Inc entered into an asset purchase agreement to acquire Aquaponics Business Segment for CAD 3.7 million on November 3, 2022. The consideration consisting of (i) CAD 0.2 million payable in cash, and (ii) the assumption of up to CAD 3.5 million in liabilities and obligations of the Aquaponics Segment, including accounts payable, liabilities and obligations under any contract or lease related to the Aquaponics Segment. Completion of the Transaction is subject to customary conditions for a transaction of this nature, which include applicable regulatory and stock exchange approvals (including approval of the TSX Venture Exchange and the approval by not less than 66 2/3% of the votes cast by Shareholders represented in person or by proxy at a meeting of Shareholders to be called to consider and approve the Transaction in accordance with the Business Corporations Act.

The board of directors of the Company has unanimously determined that the Transaction is in the best interests of the Corporation and is fair to the Shareholders and is unanimously recommending that the Shareholders vote in favour of the Transaction. As of January 3, 2023, the transaction is subject to the final approval of the TSX Venture Exchange, the Company intends to close the Transaction in January 2023.