DR. PHONE FIX ANNOUNCES NON-BROKERED CONVERTIBLE DEBENTURE UNIT FINANCING

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

EDMONTON, AB, May 19, 2026 /CNW/ -- Dr. Phone Fix Canada Corporation ("Dr. Phone Fix" or the "Company") (TSXV: DPF) is pleased to announce a non-brokered private placement of convertible debenture units (the "Offering") for aggregate gross proceeds of up to $2,500,000. Each convertible debenture unit (each, a "Unit") is comprised of (i) one $1,000 principal amount unsecured convertible debenture of the Company (a "Convertible Debenture") and (ii) 3,125 common share purchase warrants of the Company (each, a "Warrant"), representing 50% warrant coverage based on the number of common shares issuable upon conversion of the Convertible Debenture. The Convertible Debentures shall bear interest at a rate of 10% per annum from the closing date of the Offering (the "Closing Date"), payable annually.

The outstanding principal amount of each Convertible Debenture shall be convertible at the option of the holder thereof, at any time on and after the Closing Date and prior to the date that is 24 months from the date of issuance of such Convertible Debenture (the "Maturity Date"), into common shares of the Company ("Common Shares") at a conversion price per Common Share equal to $0.16 (the "Conversion Price"). Each Warrant shall be exercisable by the holder to acquire one Common Share at an exercise price of $0.22 any time on or after the Closing Date until the date that is 24 months from the date of issuance of such Warrant. Beginning on the date that is four (4) months and one (1) day following the Closing Date, if the closing price of the Common Shares on the TSX Venture Exchange (the "TSXV") has been at or above $0.40 for ten (10) consecutive trading days, the Company has the right but not an obligation to accelerate the expiration date of the Warrants to a date that is 30 days following a press release announcing acceleration.

At the Maturity Date, all principal amount outstanding together with any unpaid interest on the Convertible Debentures will be repayable by the Company in cash. All securities issued pursuant to the Offering, including any Common Shares issuable upon conversion of the Convertible Debentures or exercise of the Warrants, are subject to a statutory hold period of four months and one day from the Closing Date, in accordance with applicable securities laws and TSXV policies. 

The net proceeds from the Offering will be used to support the execution of the Company's growth strategy, increasing strategic acquisitions, new store development, expansion of its national footprint, and for general working capital and corporate purposes.

The Units will be offered and sold by private placement in Canada to "accredited investors" within the meaning of National Instrument 45-106 – Prospectus Exemptions and other exempt purchasers in each province of Canada and may be sold outside of Canada on a basis which does not require the qualification or registration of any of the Common Shares or the Warrants comprising the Units in the subscriber's jurisdiction. The Company may also concurrently offer and sell Units outside of Canada on a non-brokered, unregistered private placement basis to a limited number of "accredited investors" (as defined in Regulation D under the United States Securities Act of 1933, as amended (the "U.S. Securities Act")) with whom the Company has substantive pre-existing relationships, in reliance on exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws or in other jurisdictions where permitted by law.

The Offering may close in tranches with the final tranche of the Offering anticipated to close on or around May 29, 2026, and remains subject to the receipt of all necessary regulatory approvals, including the approval of the TSXV. Finder's fees may be payable by the Company on a portion of the Offering in accordance with applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described in this news release in the United States. Such securities have not been, and will not be, registered under the U.S. Securities Act, or any state securities laws, and, accordingly, may not be offered or sold within the United States, or to or for the account or benefit of persons in the United States or "U.S. Persons", as such term is defined in Regulation S promulgated under the U.S. Securities Act, unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

About Dr. Phone Fix

Dr. Phone Fix is a national, award-winning, eco-friendly, and customer-centric leader in Canada's cell phone and electronics repair and certified pre-owned device industry. Founded in 2019, the Company now operates 44 retail locations nationwide through a standardized and scalable operating platform designed to support consistent execution across multiple markets, delivering fast, reliable, and environmentally conscious repair services alongside a curated selection of certified pre-owned devices and premium accessories. Dr. Phone Fix maintains strong partnerships with OEMs and certified suppliers, ensuring consistently high-quality standards across its national footprint. With a focus on responsible device lifecycle management, customer service, and operational discipline, Dr. Phone Fix continues to set the benchmark for device care and resale in Canada.

www.docphonefix.com

NEITHER THE TSXV NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSXV) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.

Forward-Looking Information and Cautionary Statements

Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend" or the negative of these terms and similar expressions. Forward-looking statements in this news release include statements relating to: the acceptance of the Offering by the TSXV; the expected use of proceeds following the closing of the Offering; and the anticipated closing date for the Offering. Forward-looking information in this news release is based on certain assumptions and expected future events, namely: the Company's financial condition and development plans do not change as a result of unforeseen events; the TSXV will provide its acceptance of the Offering; and the Company will be able to obtain the financing required in order to develop and continue its business and operations. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including but not limited to: the Company's inability to obtain TSXV acceptance for the Offering; the potential failure to complete the Offering or to raise the full anticipated gross proceeds; market conditions and investor demand for the Company's securities; the Company's inability to deploy the proceeds as currently intended; and general economic and market conditions. Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement and reflect the Company's expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

SOURCE Dr. Phone Fix

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