Branded Legacy's Clean Slate: New CEO Retires $1M Debt in Turnaround

VANCOUVER, British Columbia – December 29, 2025 – Branded Legacy, Inc. (OTC:BLEG) today announced a pivotal step in its aggressive restructuring plan, confirming the successful retirement of approximately $1 million in legacy convertible debt. The move, orchestrated by a new management team that took control earlier this month, is a critical component of a broader strategy to repair the company’s balance sheet, restore investor confidence, and shed the cautionary 'Yield Sign' that has long marked its stock on the OTC Markets.

The announcement represents the latest and most concrete financial maneuver by the company's new interim CEO, Dr. Jamie Forrest, who has initiated a complete corporate overhaul. By tackling the burdensome debt inherited from previous leadership, the company signals a decisive break from its troubled past and a firm commitment to financial discipline.

A Clean Break from Dilutive Debt

The retired debt instruments were a significant overhang on Branded Legacy's capital structure. As convertible notes, they held the potential to be converted into a large number of company shares, creating a persistent threat of dilution for existing shareholders. This dilution risk can suppress a stock's value and deter new investment, as it diminishes the ownership stake of current investors with each conversion.

According to the company, the debt was eliminated through direct negotiations with the holders on what were described as "highly favorable terms." This was reportedly facilitated by the fact that the debt holders had already seen substantial returns on their initial investments, making them more amenable to a final resolution. This strategic negotiation not only removes the liability from the balance sheet but, more importantly, extinguishes the future dilution associated with it, providing a clearer and more stable capital structure for shareholders.

The immediate impact is twofold: it provides the company with greater financial flexibility for future operations and sends a clear message to the market that the new leadership is prioritizing shareholder value over the dilutive financing practices of the past. This financial cleanup is a foundational element of Dr. Forrest's plan to transform Branded Legacy into a 'clean public platform.'

Shedding the 'Yield Sign' of Warning

Beyond the balance sheet, the new management has its sights set on a crucial reputational milestone: removing the 'Yield Sign' from its OTC Markets profile. For investors navigating the over-the-counter markets, this yellow, triangular symbol serves as a public warning. It indicates that a company may be in financial distress, has encountered reporting issues, or provides only limited public information, urging investors to 'proceed with caution.'

Branded Legacy's 'Yield Sign' was a direct reflection of its history, which included the deteriorating financial condition of multiple subsidiaries and what new management described as a repeated failure to execute on announced plans. To shed this cautionary label, a company must bring its public disclosures into full compliance with OTC Markets' standards.

Management is now working closely with the OTC Markets Group to complete this process. This involves a comprehensive update of the company's issuer profile, including details on the new leadership, a revised business description reflecting its current state, and filing all required financial disclosures. The company stated its goal is to satisfy these requirements expeditiously to enhance transparency and accessibility for shareholders. Removing the sign would be a powerful symbol of a successful turnaround, signaling that the company is no longer in distress and is committed to robust corporate governance and open communication.

The Architect of the Turnaround

The driving force behind this rapid transformation is Dr. Jamie Forrest, a globally recognized leader in health technology and corporate strategy who acquired a controlling interest in the company and was appointed interim CEO on December 10. In a swift and decisive move, he removed all prior officers and directors, severing all ties with the previous regime.

Dr. Forrest's background is not in traditional corporate raiding but in complex, data-driven environments requiring forensic-level scrutiny. With a PhD in Population and Public Health from the University of British Columbia and an MPH, his career has spanned directing international research consortia and advising governments on data science. His expertise in governance, information integrity, and strategic turnarounds suggests a methodical approach to rebuilding Branded Legacy from the ground up. This background appears to be precisely what the company needed to dissect its convoluted past and chart a viable path forward.

From Scattered Ventures to a 'Clean Platform'

Understanding the significance of the current overhaul requires looking at Branded Legacy's chaotic operational history. In recent years, the company pivoted frequently, chasing disparate market trends. Its portfolio evolved from hemp-infused beverages and CBD products to addiction therapeutics, including a planned merger centered on an intranasal naloxone spray. It later acquired a biotech group and a GMP manufacturing facility, and most recently entered the kava and wellness lounge sector.

However, in his first act as CEO, Dr. Forrest divested all of these legacy subsidiaries. The company announced that entities which were insolvent, underperforming, or a material burden were completely severed from the public company. This effectively wiped the operational slate clean.

Branded Legacy is now positioned not as a holding company for these scattered ventures, but as a 'clean public platform.' It is, for all intents and purposes, a shell company, but one that has been deliberately scrubbed of its operational and financial baggage. This creates an opportunity for Dr. Forrest to bring in a new, focused operating business without the encumbrances of the past. While the market awaits news of what that new business will be, the current actions demonstrate a disciplined, step-by-step process of building a stable foundation before constructing the new enterprise.