Snail raises $1M in convertible note first tranche; $5M equity line also closed

Snail, Inc.

First tranche of convertible note: $1,080,000 principal, gross proceeds $1,000,000, 7.4% OID, 7.5% interest, conversion at 90% of three lowest VWAPs.
Warrants to purchase up to 714,285 shares at $1.89, exercisable from Nov 24, 2023 for five years.
Second tranche of $1,080,000 subject to conditions including effective resale registration statement.
Equity line of credit: up to $5,000,000 of common stock with warrant for 367,647 shares at $1.50.
Resale registration statement must be filed within 30 days and declared effective within 90 days.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

Snail, Inc. entered into Securities Purchase Agreement with two accredited investors valued at $1,080,000 (effective 2023-08-24).

Action: entry
Agreement: equity purchase
Counterparty: two accredited investors
Value: $1,080,000
Effective: 2023-08-24

Exact text from the filing

On August 24, 2023, Snail, Inc. (the “ Company ”) entered into that certain Securities Purchase Agreement (the “ Purchase Agreement ”) with two accredited investors (the “ Investors ”), pursuant to which the Company sold, and each of the Investors purchased, an initial Original Issue 7.4% Discount Convertible Note (each, a “ Note ”, and collectively, the “ Notes ”) in an aggregate principal amount of $1,080,000, convertible into shares of the Company’s Class A common stock, par value $0.0001 per share (the “ Common Stock ”), and an initial warrant to purchase up to an aggregate of 714,285 shares of the Company’s Common Stock (each, a “ Warrant ”, collectively, the “ Warrants ,” and together with the Notes, the “ Securities ”) (the “ Convertible Note Financing ”).

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38 material agreements filed in the last 30 days. Browse all material agreements →

Snail, Inc. filing history →

Source: SEC EDGAR

accession 0001493152-23-030672

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