# EDGAR Filing Document

**Accession Number:** 0001653821
**File Stem:** 0001437749-23-008398
**Filing Date:** 2023-3
**Character Count:** 16505
**Document Hash:** 2fa74413639421b174be044cdfd3f165
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001437749-23-008398.hdr.sgml**: 20230329

**ACCESSION NUMBER**: 0001437749-23-008398

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20230323

**ITEM INFORMATION**: Entry into a Material Definitive Agreement

**ITEM INFORMATION**: Termination of a Material Definitive Agreement

**ITEM INFORMATION**: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230329

**DATE AS OF CHANGE**: 20230329

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** CEN BIOTECH INC
- **CENTRAL INDEX KEY:** 0001653821
- **STANDARD INDUSTRIAL CLASSIFICATION:** PHARMACEUTICAL PREPARATIONS [2834]
- **IRS NUMBER:** 000000000
- **STATE OF INCORPORATION:** Z4
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-55557
- **FILM NUMBER:** 23775240

**BUSINESS ADDRESS:**
- **STREET 1:** 300-3295 QUALITY WAY
- **CITY:** WINDSOR
- **STATE:** A6
- **ZIP:** N8T 3R9
- **BUSINESS PHONE:** 226-344-0660

**MAIL ADDRESS:**
- **STREET 1:** 300-3295 QUALITY WAY
- **CITY:** WINDSOR
- **STATE:** A6
- **ZIP:** N8T 3R9

cenb20230328_8k.htm

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM **8-K**

**CURRENT REPORT** 

**Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934**

Date of Report (Date of Earliest Event Reported): **March 23, 2023**

**<u>CEN BIOTECH, INC.</u>**

**(Exact name of registrant as specified in its charter**)

---

| | | |
|:---|:---|:---|
| **Ontario, Canada** | **000-55557** | **-** |
| (State or Other Jurisdiction<br> of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification<br> Number) |

---

**300-3295 Quality Way**

**Windsor, **Ontario**

**Canada**

**N8T 3R9**

(Address of principal executive offices, including zip code)

**(**519**) **419-4958**

(Registrant's telephone number, including area code)

**<u>Not applicable</u>**

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol(s)** | **Name of each exchange on which registered**  |
| None | N/A | N/A |

---

---

| | |
|:---|:---|
| ☑ | Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). |

---

☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

------

**Item 1.01 Entry into a Material Definitive Agreement.**

The information set forth in Item 1.02 below is hereby incorporated by reference into this Item 1.01.

**Item 1.02 Termination of a Material Definitive Agreement.** 

As previously disclosed, on April 20, 2021, CEN Biotech Inc. (the "Company") entered into a Share Exchange Agreement (the "Agreement") with Clear Com Media Inc., an Ontario, Canada corporation ("CCM"), each of the shareholders of CCM as set forth on the signature pages of the Agreement (the "CCM Shareholders") and Lawrence Lehoux as the representative of the CCM Shareholders (each of CCM and the CCM Shareholders may be referred to collectively herein as the "CCM Parties"). The Agreement closed on July 9, 2021 and the Company acquired from the CCM Shareholders, all of the common shares of CCM, which is 10,000 shares of CCM common shares (the "CCM Stock") held by the CCM Shareholders, in exchange (the "Exchange") for the issuance by the Company to the CCM Shareholders of 4,000,000 restricted shares of the Company's common stock, no par value per share (the "Company Common Stock"). As a result, CCM became a wholly owned subsidiary of the Company. In addition, the Company increased the number of members on its Board of Directors (the "Board") by one and appointed and named Mr. Lehoux as a member of the Board of the Company. Mr. Lehoux was also appointed as the Company's Chief Technology Officer. Mr. Lehoux's employment is governed by an Executive Employment Agreement, effective September 1, 2022 (the "Employment Agreement") which was previously filed by the Company as Exhibit 10.1 to the Current Report on Form 8-K with the U.S. Securities and Exchange Commission (the "SEC") on August 31, 2022.

On March 23, 2023, the Company and the CCM parties agreed to unwind the transactions set forth in the Agreement and entered into a Termination and Release Agreement (the "Termination Agreement"). Pursuant to the Termination Agreement, the Company will transfer the CCM Stock back to the CCM Shareholders. The CCM Shareholders will keep the Company Common Stock in satisfaction of the Company's indebtedness owing to CCM in the aggregate amount of Cdn$416,915.95. CCM will also make a payment to the Company in the aggregate amount of US$250,000 plus the Company's legal costs associated with this transaction. The closing of these transactions shall take place on or about April 22, 2023 or on such other date as the parties may agree. Upon the closing of the Termination Agreement, Mr. Lehoux will resign from his position as director and Chief Technology Officer of the Company, which will result in the termination of the Employment Agreement.

Pursuant to the Termination Agreement, the Agreement will be of no further force and effect, and the parties each release all other parties to the Agreement from any and all claims, demands, etc. arising from the Agreement or the Termination Agreement.

The foregoing descriptions of the Agreement and the Termination Agreement do not purport to be complete and are qualified in their entirety by the terms and conditions of the full text of the Agreement, which was previously filed as Exhibit 10.1 to the Current Report on Form 8-K with the U.S. Securities and Exchange Commission (the "SEC") by the Company on April 20, 2021, and the full text of the Termination Agreement, which is attached hereto as Exhibit 10.1, each of which is incorporated by reference herein.

**Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers**

The information set forth in Item 1.02 with respect to the resignation of Mr. Lehoux as an officer and director of the Company is hereby incorporated by reference into this Item 5.02.

**Item 9.01 Financial Statements and Exhibits.**

**(d) Exhibits.**

---

| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| 10.1\* | [Termination and Release Agreement, dated March 23, 2023](ex_494357.htm) |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

\*Filed herewith.

------

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **CEN Biotech, Inc.** | **CEN Biotech, Inc.** |
| Date: March 29, 2023 | By: | */s/ Brian S. Payne* |
|  |  | Brian S. Payne |
|  |  | Chief Executive Officer |

---

## Exhibit 10.1

Exhibit 10.1

**TERMINATION AND RELEASE AGREEMENT**

**WHEREAS** CEN Biotech Inc. (the "**Company**"), Clear Com Media Inc. ("**CCM**"), the shareholders of Clear Com (the "**CCM Shareholders**") and Lawrence Lehoux (the "**Representative**") as the CCM Shareholders' representative entered into a Share Exchange Agreement dated as of April 20, 2021 (the "**Share Exchange Agreement**"), pursuant to which the Company acquired 10,000 shares of CCM Stock (the "**Transferred CCM Stock**") in exchange for 4,000,000 shares of Company Common Stock (the "**Company Stock**"), all in accordance with the terms and conditions thereof;

**AND WHEREAS** the Company, CCM, the CCM Shareholders, and the Representative (collectively, the "**Parties**") have determined to unwind certain transactions set forth in the Share Exchange Agreement, as further detailed herein;

**AND WHEREAS** all capitalized terms used and not otherwise defined herein shall have the meanings ascribed thereto in the Share Exchange Agreement;

**NOW THEREFORE**, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by each of the Parties, the Parties agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. The Company shall transfer the Transferred CCM stock to the CCM Shareholders, in proportion to their original respective ownership thereof, free and clear of all Liens, charges, encumbrances, pledges, restrictions or known claims of any kind, nature or description, and the Company represents and warrants to CCM and the Shareholders that the Transferred CCM stock represents all of the issued and outstanding securities of CCM as of the date hereof, and no person has any right, privilege or option to acquire any securities of CMM, whether issued or unissued, other than the Shareholders pursuant to this Agreement (the "**Settlement Payment** "). For greater certainty, the Parties acknowledge and agree that notwithstanding any other provision hereof, the CCM Shareholders shall be entitled to retain their aggregate 4,000,000 shares of Company Stock (the "**Retained Shares**") in full and final satisfaction of indebtedness owing to CCM in the aggregate amount of Cdn$416,915.65 as of the date hereof (the "**Indebtedness** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. The Parties acknowledge that the Settlement Payment to be made by the Company as contemplated under this Agreement shall constitute as the full and final settlement of any and all of the Company's obligations to CCM or the CCM Shareholders, under the Share Exchange Agreement or otherwise, including but not limited to, the Indebtedness.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. CCM hereby directs that in consideration for the full and final satisfaction of the Indebtedness, the Retained Shares shall be entitled to be retained by the CCM Shareholders in lieu of CCM receiving this consideration directly.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. CCM shall make a one-time lump sum cash payment to the Company in the aggregate amount of US$250,000 plus the Company's legal costs associated with this transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The transactions contemplated in Sections 1 and 2 hereof shall be completed contemporaneously at such time and on such date as the Parties may agree (the "**Closing** "), on or about the 30th day following the execution of this Agreement.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. At the time of Closing, the Representative shall resign as an employee and director of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. In consideration of the foregoing, the Parties agree and acknowledge that as of the Closing, no Party shall have any further rights or obligations under the Share Exchange Agreement, and Company hereby releases and forever discharges each of the Shareholders, CCM, each of the directors and officers of CCM and the Representative (in his capacity as a Shareholder, and as a director and employee of the Company), each of their respective affiliates and each of their respective directors, officers, employees, agents, successors and assigns, as applicable (each, an "Indemnified Party"), from any and all actions, causes of action, claims and demands whatsoever including, but not limited to, all actions, causes of actions, claims and demands arising from the Share Exchange Agreement and/or this Agreement. The Company further agrees not to make any claim or take any proceedings against any other individual, partnership, association, trust, unincorporated organization, or corporation with respect to any matters which may have arisen between the Company and any Indemnified Party, or in which any claim could arise against any Indemnified Party for contribution, indemnity or other relief. Without limiting the generality of the foregoing, the Company represents and warrant that (i) no further remittances or action will be required on behalf of CCM in order to give effect to the Closing as contemplated hereby; and (ii) the Company will be exclusively responsible for all outstanding payables and liabilities of the Company. To the extent that any Indemnified Party entitled to be indemnified hereunder is not a party to this Agreement, the Representative shall obtain and hold the rights and benefits of this Agreement in trust for, and on behalf of, such Indemnified Party and such Indemnified Party shall be entitled to enforce the provisions of this section notwithstanding that such Person is not a party to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. The Parties agree to execute and deliver to each other such further instruments and other written assurances and to do or cause to be done such further acts or things as may be necessary or convenient to carry out and give effect to the intent of this Agreement or as any of the parties may reasonably request in order to carry out the transactions contemplated herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. In case any one or more of the provisions contained in this Agreement should be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained in this Agreement shall not in any way be affected or impaired thereby, and any such invalid, illegal or unenforceable provision shall be deemed to be severable, and the remainder of the provisions of this Agreement shall nevertheless remain in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. This Agreement may be executed by the parties hereto in separate counterparts or duplicates each of which when so executed and delivered shall be an original, but all such counterparts or duplicates shall together constitute one and the same instrument.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. This Agreement shall be binding upon and shall enure to the benefit of the Parties hereto and their respective heirs, executors, administrators, successors, assigns and legal representatives. This Agreement may not be assigned without the prior written consent of the Parties, which consent may be unreasonably withheld.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. This Agreement and all documents relating thereto shall be governed by and construed in accordance with the internal laws of the Province of Ontario and the federal laws of Canada applicable therein, without reference to conflicts of law rules. The Parties irrevocably attorn to the exclusive jurisdiction of the courts of the Province of Ontario.

------

DATED at the City of Windsor, Ontario as of this 23rd day of March, 2023.

**CEN BIOTECH INC.**

<u>/s/ Brian S. Payne</u><u> </u><u> </u>

Authorized Signatory

**CLEAR COM MEDIA INC.**

<u>/s/ Lawrence Lehoux</u><u> </u><u> </u>

Authorized Signatory

<u>/s/ Lawrence Lehoux</u><u> </u><u> </u>

Lawrence Lehoux

(as authorized Representative of the Shareholders)