debt
confidence medium
sentiment neutral
materiality 0.50
Good Hemp issues $275K promissory note and warrants to Jefferson Street Capital; net $230K
Accredited Solutions, Inc.
- Issue of $275,000 promissory note (matures Aug 20, 2022), 10% interest; funded Oct 14, 2021 for net $230,000 after $25K OID and $20K expenses.
- Five-year warrants to purchase 185,185 shares at $1.35 per share, subject to anti-dilution adjustments.
- Note non-convertible unless default; conversion price at default is 75% of lowest VWAP over 10 trading days, capped at 4.99% beneficial ownership (non-waivable).
- Proceeds to be used for inventory financing and general working capital.
- Agreement includes customary representations, warranties, and covenants; breach constitutes event of default.