IM Cannabis Corp. Raises $250K via Convertible Note & Warrants

TL;DR

IM Cannabis Corp. closes $250K convertible note deal with warrants, using proceeds for operations.

AI Summary

On April 6, 2026, IM Cannabis Corp. entered into a Note Purchase Agreement with an institutional investor to issue a convertible note for US$250,000 and a warrant to purchase up to 272,861 common shares. The offering is expected to close on April 7, 2026, with net proceeds of US$225,000 intended for general corporate purposes. The convertible note carries an 8.0% annual interest rate, increasing to 14.0% upon an Event of Default, and will be satisfied through the issuance of common shares.

Why It Matters

This financing provides IM Cannabis Corp. with capital for general corporate purposes, potentially impacting its operational capacity and future growth initiatives.

Risk Assessment

Risk Level: medium — The company is issuing convertible debt and warrants, which can dilute existing shareholders and indicates a need for capital, suggesting potential financial pressures.

Key Numbers

• US$250,000 — Convertible Note Principal (Amount raised in the offering)
• US$225,000 — Net Proceeds (Funds available for general corporate purposes)
• 8.0% — Interest Rate (Annual interest on the convertible note)

Key Players & Entities

• IM Cannabis Corp. (company) — Registrant
• US$250,000 (dollar_amount) — Principal amount of convertible note
• April 6, 2026 (date) — Date of Note Purchase Agreement
• April 7, 2026 (date) — Expected Closing Date
• US$225,000 (dollar_amount) — Net proceeds from the offering
• 272,861 (number) — Number of common shares issuable upon warrant exercise
• CAD$0.47 (dollar_amount) — Exercise price of the warrant

FAQ

Key Financial Figures

• $250,000 — " Note ") in the principal amount of US$250,000 (the " Subscription Amount "), which is
• $0.47 — ount divided by an exercise price of CAD$0.47 per Common Share (the " Offering "). Th
• $225,000 — ny intends to use the net proceeds of US$225,000 received from the Offering for general
• $0.339 — ote. The Fixed Price set in the Note is $0.339. The Floor Price set in the Note $0.07.
• $0.07 — $0.339. The Floor Price set in the Note $0.07. No fractional Common Shares will be is
• $0.0001 — l amount will be rounded to the nearest $0.0001. Any fractional Common Shares will be r

Filing Documents

• zk2635038.htm (6-K) — 23KB
• exhibit_4-1.htm (EX-4.1) — 86KB
• exhibit_4-2.htm (EX-4.2) — 104KB
• exhibit_10-1.htm (EX-10.1) — 113KB
• 0001178913-26-002019.txt ( ) — 327KB

From the Filing

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of April 2026 . Commission File Number: 001-40065 IM Cannabis Corp. (Exact Name of Registrant as Specified in Charter) Kibbutz Glil Yam, Central District, Israel 4690500 (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F Form 40-F CONTENTS Note Purchase Agreements, Convertible Notes and Warrants On April 6, 2026, IM Cannabis Corp. (the " Company ") entered into a Note Purchase Agreement (the " Purchase Agreement ") with an institutional investor (the " Investor "), pursuant to which the Company issued to the Investor (A) a convertible note (the " Note ") in the principal amount of US$250,000 (the " Subscription Amount "), which is convertible into the Company's common shares, no par value per share (the " Common Shares "), at a purchase price equal to ninety percent (90%) of the Subscription Amount; and (B) a warrant to purchase up to 272,861 Common Shares (the " Warrant "), equal to a number of Common Shares determined by thirty-three and one-third percent (33%) of the Subscription Amount divided by an exercise price of CAD$0.47 per Common Share (the " Offering "). The Offering is expected to close on April 7, 2026 (the " Closing Date "). The Company intends to use the net proceeds of US$225,000 received from the Offering for general corporate purposes. The Note bears an interest rate of eight percent (8.0%) per annum accruing from the Closing Date (which shall increase to fourteen percent (14.0%) upon the occurrence of an Event of Default (as defined in the Note). The Note is not repayable in cash and the Company's obligations thereunder will be satisfied solely through the issuance of Common Shares upon conversion of the Note in accordance with its terms. The number of Common Shares issuable upon any conversion of the principal amount under the Note is determined by dividing the applicable conversion amount by the conversion price (the " Conversion Price "). The Conversion Price is equal to the lower of (i) the Fixed Price, as defined in the Note, or (ii) ninety percent (90%) of the lowest daily volume-weighted average price of the Common Shares during the twenty (20) consecutive trading days immediately preceding the conversion date (the " Variable Price "), provided, however, that the Variable Price will not be lower than the Floor Price, as defined in the Note. The Fixed Price set in the Note is $0.339. The Floor Price set in the Note $0.07. No fractional Common Shares will be issued upon conversion, and any fractional amount will be rounded to the nearest $0.0001. Any fractional Common Shares will be rounded down to the nearest whole share. The Warrant entitles its holder to purchase one Common Share (each, a " Warrant Share ") at an exercise price of CAD$0.47 per Warrant Share. The Warrant became exercisable immediately upon its issuance date, April 6, 2026, and will be exercisable for a period of five (5) years, until April 6, 2031 (the " Termination Date "). If the Warrant is not exercised by the Termination Date, the Warrant will expire and be of no further force or effect. The Warrant and the Warrant Shares may not be traded for a period of four (4) months, unless permitted under applicable securities legislation. The Note includes customary limitations on conversion, including a beneficial ownership cap of 4.99% of the outstanding Common Shares after giving effect to such conversion. The Purchase Agreement include customary representations, warranties and covenants of the Company and the Investor, including the Company's obligation to reserve sufficient Common Shares for issuance upon conversion of the Notes and to file a resale registration statement on Form F-3 (the " Registration Statement ") with the U.S. Securities and Exchange Commission (the " SEC ") providing for the resale by the Investor of the Common Shares and the Warrant Shares issuable upon conversion of the Note within thirty (30) trading days after the Closing Date. The Company has also agreed to use commercially reasonable efforts to cause the Registration Statement to become effective as soon as possible, but in no event later than the date which shall be the earlier of: (x) in the event that the Registration Statement is not subject to a full review by the SEC, sixty (60) calendar days after the Closing Date, or in the event that the Registration Statement is subject to a full review by the SEC, ninety (90) calendar days after the Closing Date, and (y) the fifth (5 th ) business day after the date on which the Company is notified (orally or in writing, whichever is earlier) by the SEC that such Registration Statement will not be reviewed or will not be subject to further review. Th