---
schema_version: "secwatch.filing_event.v1"
accession: "0001213900-25-101673"
form_type: "8-K"
ticker: "CAPS"
cik: "0000887151"
company_name: "Capstone Holding Corp."
filed_at: "2025-10-23T23:59:59+00:00"
generated_at: "2026-05-17T02:39:08.444880+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.6
calibrated_materiality_score: 0.6
confidence: "high"
source: SEC EDGAR
---

# Capstone Holding issues second convertible note for $3.25M gross proceeds at $1.10 conversion price

## Summary
- Second senior secured convertible note issued with original principal of $3,545,712.42, 8.34% OID.
- Gross proceeds of $3,250,000; first note had $3,272,966 principal.
- Note bears 7.0% interest; quarterly equal installments for principal and interest.
- Conversion price $1.10 per share; buyer beneficial ownership capped at 4.99%.
- Joseph Gunnar & Co. acted as sole sales agent, receiving 7% cash fee on gross proceeds.

## SEC filing metadata
- accession: 0001213900-25-101673
- form_type: 8-K
- ticker: CAPS
- cik: 0000887151
- company_name: Capstone Holding Corp.
- filed_at: 2025-10-23T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.6
- calibrated_materiality_score: 0.6
- confidence: high
- sec_items: 1.01, 2.03, 3.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/887151/000121390025101673/0001213900-25-101673-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/887151/000121390025101673/ea0262225-8k_capstone.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001213900-25-101673
- JSON: https://secwatch.observer/filing/0001213900-25-101673.json
- Plain text: https://secwatch.observer/filing/0001213900-25-101673.txt

## Key facts
- Debt Financings
  Capstone Holding Corp. incurred convertible notes of original principal amount of $3,545,712.42 with an institutional investor at 7.0% per annum.
  - Instrument: convertible notes
  - Principal: original principal amount of $3,545,712.42
  - Counterparty: an institutional investor
  - Rate: 7.0% per annum
  - Event: incurrence
  source text: On October 22, 2025 (the “ Issuance Date ”), the Company issued to the Buyer a second Convertible Note in the original principal amount of $3,545,712.42 (the “ Second Note ”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/887151/000121390025101673/0001213900-25-101673-index.htm

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