---
schema_version: "secwatch.filing_event.v1"
accession: "0001213900-25-006717"
form_type: "8-K"
ticker: "WKHS"
cik: "0001425287"
company_name: "Workhorse Group Inc."
filed_at: "2025-01-27T23:59:59+00:00"
generated_at: "2026-05-27T09:09:38.920083+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Workhorse issues $3.5M convertible note at 9%; expects $1.5-1.8M impairment on W4 CC prepaids

## Summary
- Issued $3.5M senior secured note (12.5% OID) to institutional investor; proceeds ~$3.06M before fees, due in 1 year.
- Note carries 9% cash/kind interest (18% default); convertible at lower of $0.4996 or 87.5% of 10-day VWAP (floor $0.1190).
- Investor waived warrants for this tranche; $5.8M remaining waiver capacity; ATM program for up to $5M common shares permitted.
- Expects to record $1.5-1.8M reserve on W4 CC prepaid purchases as of Dec 31, 2024, due to likely impairment.
- Total outstanding Notes: $5.65M after this $3.5M issuance; no shares yet issued under warrants.

## SEC filing metadata
- accession: 0001213900-25-006717
- form_type: 8-K
- ticker: WKHS
- cik: 0001425287
- company_name: Workhorse Group Inc.
- filed_at: 2025-01-27T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 1.01, 2.03, 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1425287/000121390025006717/0001213900-25-006717-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1425287/000121390025006717/ea022877001-8k_workhorse.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001213900-25-006717
- JSON: https://secwatch.observer/filing/0001213900-25-006717.json
- Plain text: https://secwatch.observer/filing/0001213900-25-006717.txt

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.