SmartKem issues $1.1M secured notes, warrants; curtails operations due to cash need

SmartKem, Inc.

Issued $1.1M principal Senior Secured Notes and warrants for 400K shares at $2.75 exercise price for $1M total.
Notes mature April 30, 2026; no interest pre-default, then 10% per annum on default.
Granted security interest in substantially all assets via Security Agreement with Hewlett Fund LP as collateral agent.
Company significantly curtailed operations, delayed vendor payments; accounts payable increased since June 30, 2025.
Requires significant additional capital to resume normal operations and pay vendors.

item 1.01 item 2.03 item 3.02 item 8.01 item 9.01

Key facts

Extracted from this filing and checked against the source text.

Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.9

SmartKem, Inc. incurred senior notes of $1,100,000 with the Purchasers at do not bear interest prior to an event of default. If an event of default occurs maturing April 30, 2026.

Instrument: senior notes
Principal: $1,100,000
Counterparty: the Purchasers
Rate: do not bear interest prior to an event of default. If an event of default occurs
Maturity: April 30, 2026
Event: incurrence

Exact text from the filing

On October 31, 2025, SmartKem, Inc. (the “Company”), entered into a securities purchase agreement (the “Purchase Agreement”) with certain purchasers (the “Purchasers”), pursuant to which the Company issued and sold to the Purchasers in a private placement: (i) Senior Secured Notes (the “Notes”) in the aggregate principal amount of $1,100,000

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306 debt financings filed in the last 30 days. Browse all debt financings →

SmartKem, Inc. filing history →

Source: SEC EDGAR

accession 0001104659-25-105530

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