secwatch.observer — SEC 8-K summary
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Issuer:     Edible Garden AG Inc (EDBL)
CIK:        0001809750
Form:       8-K
Filed at:   2022-10-31T23:59:59+00:00
Accession:  0001477932-22-008027
Event type: other_material
Sentiment:  neutral
Materiality: 0.70
Item codes: 1.01, 3.02, 3.03, 5.03, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

Edible Garden exchanges $962k of debt for Series A Preferred Stock to boost equity for Nasdaq compliance
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- Converted $820k principal and ~$142k accrued interest/prepayment premium of a secured note held by Evergreen Capital for 1,526,183 shares of Series A Convertible Preferred Stock.
- Remaining note principal unchanged at ~$1.02M; terms of note otherwise unaffected.
- Preferred Stock carries 7% cumulative dividend (rising to 24% on trigger events), convertible at $0.63/share with anti-dilution floor of $0.5936.
- Mandatory monthly conversion/redemption of 198,413 Preferred shares starting Nov 15, 2022; full redemption required if Company raises ≥$4M in equity/debt.
- Transaction increases stockholders' equity to aid regaining compliance with Nasdaq's minimum equity requirement.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1809750/000147793222008027/0001477932-22-008027-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1809750/000147793222008027/edbl_8k.htm
  HTML page:      https://secwatch.observer/filing/0001477932-22-008027

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