Montréal – TheNewswire - January 7, 2021 – ZeU Technologies Inc. (CSE:ZEU) (CNSX:ZEU.CN) (OTC:ZEUCF) is pleased to announce that it has completed its previously announced non-brokered private placement, pursuant to which it has issued an aggregate of 2,500,000 units at a price of $0.25 per Unit for gross proceeds of $625,000.

Each Unit will be comprised of one common share (each, a “Share”) in the capital of the Corporation and one Share purchase warrant (each, a “Unit Warrant”), entitling the holder to purchase one Share at an exercise price of $0.35 until the day following the second anniversary of the issuance of the units (the “Warrant Expiry Date”).

In the event that the trading price of the Shares on the Canadian Securities Exchange (the “CSE”) reaches $1.00 per Share on any single day, the Corporation may, at its option, accelerate the Warrant Expiry Date by delivery of notice to the registered holders (an “Acceleration Notice”) thereof and issuing a press release (a “Warrant Acceleration Press Release”, and, in such case, the Warrant Expiry Date shall be deemed to be 5:00 p.m. (Montreal time) on the 30th day following the date of issuance of the Warrant Acceleration Press Release.

Debt Settlement

In addition, the Corporation also announces that it has settled an aggregate of $375,000 of indebtedness owed to certain arm’s length and non-arm’s length creditors through the issuance of 1,500,000 Shares at a deemed price of $0.25 per Share (the “SFD”).

Certain insiders of the Corporation subscribed for a total of 1,234,000 Shares and 110,000 Units under the SFD and the Private Placement, respectfully, which is a "related party transaction" within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The issuances to the insiders are exempt from the valuation requirement of MI 61-101 by virtue of the exemption contained in section 5.5(b) as the Corporation's shares are not listed on a specified market and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in section 5.7(a) of MI 61-101 in that the fair market value of the consideration of the securities issued to the related parties did not exceed 25% of the Corporation's market capitalization.  The Corporation did not file a material change report more than 21 days before the expected closing of the Private Placement and the SFD as the details of the Private Placement and SFD, and the participation therein by related parties of the Corporation were not settled until shortly prior to closing, and the Corporation wished to close on an expedited basis for sound business reasons.

All securities issued in respect of the Private Placement and the SFD will be subject to a hold period of four (4) months and a day from closing of the Private Placement and the SFD in accordance with securities laws.

The proceeds of the Private Placement will be used for general working capital.

ON BEHALF OF THE BOARD OF DIRECTORS

“Frank Dumas”

Frank Dumas
President & CEO

About ZeU

ZeU is a forward-thinking Canadian technology company that has developed a state-of-the-art blockchain protocol, providing the foundation for the next-generation of encrypted and distributed networks. Thanks to its high level of sophistication, ZeU’s technology maximizes transparency, security and scalability as well as big data management. ZeU’s strategy is to monetize blockchain transactions in diverse sectors such as payment, gaming, data, and healthcare.

Neither the CSE nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.