Sukhwinder Singh Rai - 10 Nov 2022 Form 4 Insider Report for Skye Bioscience, Inc. (SKYE)

Role: Director
Signature: /s/ Kaitlyn Arsenault, as Attorney-in-Fact
Issuer symbol: SKYE
Transactions as of: 10 Nov 2022
Net transactions value: $0
Form type: 4
Filing time: 15 Nov 2022, 11:24:05 UTC
Next filing: 15 Nov 2022
SEC: View on sec.gov

Transactions Table

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Ownership	Footnotes
transaction	SKYE	Common Stock	Award		+22,157			22,157	10 Nov 2022	Trust	F1, F2
transaction	SKYE	Common Stock	Award		+73,561			73,561	10 Nov 2022	Shares held by wife of Reporting Person	F1, F3

Derivative Securities (e.g., puts, calls, warrants, options, convertible securities)

Type	Sym	Class	Transaction	Value $	Shares	Change %	* Price $	Shares After	Date	Underlying Class	Amount	Exercise Price	Ownership	Footnotes
transaction	SKYE	Stock Option (Right to Buy)	Award		+390,000			390,000	10 Nov 2022	Common Stock	390,000	$1.60	Direct	F4, F5
transaction	SKYE	Stock Option (Right to Buy)	Award		+146,250			146,250	10 Nov 2022	Common Stock	146,250	$1.71	Direct	F4, F5
transaction	SKYE	Stock Option (Right to Buy)	Award		+146,250			146,250	10 Nov 2022	Common Stock	146,250	$0.1100	Direct	F4, F6
transaction	SKYE	Stock Option (Right to Buy)	Award		+195,000			195,000	10 Nov 2022	Common Stock	195,000	$0.0800	Direct	F4, F7

* An asterisk sign (*) next to the price indicates that the price is likely invalid.

Explanation of Responses:

Id	Content
F1	The reporting person acquired these securities on November 10th, 2022, in exchange for the reporting person's securities of Emerald Health Therapeutics, Inc., which the company acquired by way of a plan of arrangement pursuant to the Arrangement Agreement, dated as of May 11, 2022 (as amended, the "Arrangement Agreement"). Pursuant to the terms of the Arrangement Agreement, each holder of EHT shares received 1.95 shares of company common stock for each EHT share (the "Exchange Ratio").
F2	The shares are held through the Canaccord Genuity Trust.
F3	For each indirect account, Mr. Rai disclaims beneficial ownership except to the extent of his pecuniary interest, if any.
F4	The reporting person acquired these securities on November 10th, 2022, in exchange for the reporting person's securities of Emerald Health Therapeutics, Inc., which the company acquired by way of a plan of arrangement pursuant to the Arrangement Agreement. Pursuant to the terms of the Arrangement Agreement, each option to purchase EHT shares was exchanged into an option to purchase shares of company common stock, with the number of shares underlying each option (and the exercise price of such option) adjusted based on the Exchange Ratio.
F5	The options underlying this award are fully vested.
F6	The options vest, or have vested, in equal installments on each of February 6, 2020, February 6, 2021, February 6, 2022, February 6, 2023.
F7	8.33% of the options vested on the grant date of August 3, 2020. 8.33% of the options vest, or have vested, on each monthly anniversary of the grant date.