Royalties Inc. Announces the Start of Trading on the CSE and a Financing of $520,000

Toronto, Ontario–(Newsfile Corp. – April 12, 2023) – Royalties Inc. (CSE: RI), (formerly Xtierra Inc.) (“the Company“) announces the start of trading on the Canadian Securities Exchange (‘CSE’). The Company intends to complete a non-brokered private placement offering of Royalties Inc at a price of 5 cents per share, for gross proceeds of $520,000 from a Director and Music Royalties Inc., funds previously advanced for working capital and for acquisitions of cash flow generating royalty opportunities.

The Offering is being made pursuant to certain Canadian prospectus exemptions, including the “existing securityholder” exemption and “purchasers advised by investment dealers” exemption, where applicable. Both the “existing securityholder” and “purchasers advised by investment dealers” exemptions are collectively referred to as the “Existing Security holder and Retail Investor Exemptions”. Existing shareholders of the Company who wish to subscribe for common shares pursuant to the Offering, who held common shares of the Company as of April 11, 2023 and who continue to hold common shares of the Company, and who are permitted to subscribe under the “existing securityholder” exemption should contact the Company pursuant to the contact information set forth below in order to participate in the Offering.

The Offering is expected to close on or about April 30, 2023 (the “Closing Date”) but may close earlier or later. Closing of the Offering is also subject to CSE final acceptance.

All securities issued in connection with the Offering will be subject to a four month hold period from the date of issuance of such securities. The Company confirms that there is no material fact or material change related to the Company which has not been generally disclosed.

About Royalties Inc. (formerly Xtierra Inc.)

Royalties Inc. has a stake in Music Royalties Inc. (“MRI”), a Canadian-based private company that acquires passive music royalties from rightsholders (including but not limited to artists, producers and songwriters) and currently holds a portfolio of approximately 25 cash-flowing music royalties. MRI is currently paying a monthly dividend generating a 6% annual yield.

Royalties Inc. owns a 100% interest, subject to a 1.5% net smelter royalty repurchased in July 2019, on the Bilbao project silver-lead-zinc-copper project located in the southeastern part of the State of Zacatecas.

Royalties Inc. owns 88% of the outstanding shares of Minera Portree de Zacatecas, S.A. de C.V (“Minera Portree”) which holds an asserted claim to a 2% net smelter royalty on six mining concessions located adjacent to the Cozamin Mine operated by Capstone Mining Corp., which claim is challenged by Capstone.

For further information contact Royalties Inc. at www.royaltiesinc.com

Tim Gallagher
CEO & Director
(416) 925‐0090

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

Forward-Looking Statements

This news release contains “forward-looking information” within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as “may”, “will”, “expect”, “likely”, “should”, “would”, “plan”, “anticipate”, “intend”, “potential”, “proposed”, “estimate”, “believe” or the negative of these terms, or other similar words, expressions, and grammatical variations thereof, or statements that certain events or conditions “may” or “will” happen, or by discussions of strategy. Forward-looking information contained in this press releases includes, but is not limited to, the following: the Company’s proposed change of business; the anticipated focus of the Company’s business after the change of business is completed; and the future dividend potential relating to the Acquisition.

Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is based on assumptions made in good faith and believed to have a reasonable basis. Such assumptions include, without limitation, that all necessary approvals will be granted for the Company’s proposed change of business; the future value relating to the MRI Shares and the ability to pay dividends in the future; and that sufficient capital will be available to the Company.

However, forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to sufficient capital and financing required in order to fulfill the Company’s business plans and strategy following the proposed change of business cannot be obtained on reasonable terms, or at all; that the Company will not be able to pay dividends in the future; and other risks related to the Company as disclosed in the Company’s continuous disclosure documents filed on the Company’s SEDAR profile at www.sedar.com.

Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and are based on the beliefs, estimates, expectations, and opinions of management on such date. The Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required under applicable securities law. Readers are cautioned to consider these and other factors, uncertainties, and potential events carefully and not to put undue reliance on forward-looking information.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/162156

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