Mr. Eric Krafft Acquires Securities of Leading Edge Materials Corp.

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MONACO, Aug. 10, 2020 /CNW/ - Mr. Eric Krafft announces that, in connection with the closing of the private placement financing announced by Leading Edge Materials Corp. ("LEM"), on August 7, 2020, Mr. Krafft, a director of LEM, acquired 24,150,000 Units of LEM (the "LEM Units") at an issue price per of C$0.11 per LEM Unit. The LEM Units comprise of one common share (the "LEM Shares") and one common share purchase warrant (a "Warrant Share"). Each Warrant Share entitles Mr. Krafft to acquire one LEM Share at a price of C$0.20 per Warrant Share until August 7, 2024. The LEM Shares acquired by Mr. Krafft represent approximately 16.49% of the issued and outstanding Common Shares of LEM, on a non-diluted basis. The LEM Units acquired by Mr. Krafft are subject to a voluntary hold period pursuant to which such securities cannot be traded until August 8, 2021.

Prior to the acquisition of the LEM Units, Mr. Krafft owned and controlled 22,554,404 Common Shares of LEM, representing approximately 19.70% of the then issued and outstanding Common Shares of LEM and 15,500,000 Warrants. Assuming exercise of the Warrants held by Mr. Krafft only, Mr. Krafft would have control or direction over 38,054,404 Common Shares or 29.28% of the then issued and outstanding Common Shares of LEM.

Immediately after the acquisition of the LEM Shares, Mr. Eric Krafft owns and controls 46,704,404 Common Shares of LEM, representing approximately 31.89% of the issued and outstanding Common Shares of LEM and 39,650,000 Warrants. Assuming exercise of the Warrants by Mr. Krafft only, Mr. Krafft would have control or direction over 86,354,404 representing 48.38% of the issued and outstanding common shares of the Company.

Eric Krafft has acquired the LEM Shares for investment purposes and has a long-term view of his investment. In the future, Mr. Krafft may take such actions in respect of his investment in the Company as he may deem appropriate, depending on the market conditions and circumstances at that time.

The Early Warning Report will be filed with the applicable securities commissions via SEDAR and will be available for viewing on LEM's profile at www.sedar.com

This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold in the United States or to U.S. Persons absent registration under the U.S. Securities Act and applicable state securities laws or an applicable exemption from such registration requirements.

SOURCE Mr. Eric Krafft