Legend Power Clarifies Earlier News Release and Announces Proposed Second Tranche of Offering

Legend Power® Systems Inc. (TSX.V: LPS) (OTCQB: LPSIF) (“Legend Power” or the “Company”), a global leader in commercial electrical system solutions, announces it intends to close a second tranche of a non-brokered private placement, pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106  – Prospectus Exemptions (the “LIFE Exemption“), by issuing units (each, a “Unit“) at a price of $0.18 per Unit (the “Offering“) on or before August 31, 2023. The Company closed the first tranche of the Offering on July 31, 2023 (see press release issued August 1, 2023) and filed a Form 45-106F19 offering document (the “Offering Document”) on July 18, 2023 related to the Offering, which may be accessed under Legend Power’s profile at www.sedarplus.ca and on the Company’s website at https://legendpower.com/investors/.

Pursuant to the Offering, each Unit is to consist of one common share in the capital of the Company (each, a “Common Share“) and one Common Share purchase warrant (each, a “Warrant“). Each Warrant entitles the holder to acquire one additional Common Share at $0.25 for a period of two years from the date of issuance, subject to an accelerated expiry provision, whereby in the event the daily volume weighted average trading price of the Company’s Shares on the TSX Venture Exchange, or such other stock exchange where the majority of the trading volume occurs (the “Exchange“), exceeds $0.40 for a period of 10 consecutive trading days, at the Company’s election, the period within which the Warrants are exercisable, will be reduced and the holders of the Warrants will be entitled to exercise their Warrants for a period of 30 days commencing on the day the Company provides notice, any outstanding Warrants not exercised during the 30 day period will expire.

The Company intends to use the net proceeds from the Offering for general working capital purposes, fixed operating expenses, purchase order deposits, development expense and other related expenses, as more specifically detailed in the Offering Document. The Units issued in the Offering are not subject to a hold period, subject to limitations prescribed by the LIFE exemption.

The securities issued pursuant to the Offering have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons in the absence of U.S. registration or an applicable exemption from the U.S. registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or in any other jurisdiction in which such offer, solicitation or sale would be unlawful.

About Legend Power® Systems Inc.

Legend Power® Systems Inc. (https://legendpower.com) provides an intelligent energy management platform that analyzes and improves building energy challenges, significantly impacting asset management and corporate performance. Legend Power’s proven solutions support proactive executive decision-making in a complex and volatile business and energy environment. The proprietary and patented system reduces total energy consumption and power costs, while also maximizing the life of electrical equipment. Legend Power’s unique solution is also a key contributor to both corporate sustainability efforts and the meeting of utility energy efficiency targets.

Source: Legend Power Systems Inc.