HeartCore secures up to $27M financing: $25M equity line + $2M convertible preferred from Crom Fund

HeartCore Enterprises, Inc.

• Equity Purchase Agreement: HeartCore may sell up to $25M of common stock to Crom over 24 months at a discount of 50% of average daily trading volume.
• Securities Purchase Agreement: Crom buys 2,000 shares of Series A Convertible Preferred at $1,000/share ($2M gross), stated value $1,100/share.
• Conversion price for preferred is 90% of avg of two lowest VWAPs over prior 5 trading days; 750,000 common shares issued to Crom for no additional cost.
• Proceeds to support M&A strategy, software growth initiatives, and Nasdaq equity compliance (minimum $2.5M stockholders' equity).
• Company may not issue more than 19.99% of outstanding common stock without stockholder approval under Nasdaq rules.