---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-25-020124"
form_type: "8-K"
ticker: "SNAL"
cik: "0001886894"
company_name: "Snail, Inc."
filed_at: "2025-10-30T23:59:59+00:00"
generated_at: "2026-05-17T01:25:41.493215+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.65
calibrated_materiality_score: 0.65
confidence: "high"
source: SEC EDGAR
---

# Snail Inc. enters $2.2M convertible note financing with 10% OID, $5 conversion price

## Summary
- Issued $2.2M convertible note (principal) to Crom Fund for $2M purchase price, reflecting 10% OID.
- Note matures in 12 months with a one-time 5% interest charge on principal, senior unsecured.
- Conversion price $5.00/share, but up to $577,500 converts at lower of $5 or 92% of prior 5-day VWAP.
- Company filed registration rights agreement for resale of conversion shares within 90 days.
- Stockholder approval obtained per Nasdaq Listing Rule 5635(d) for issuance exceeding 20% of outstanding.

## SEC filing metadata
- accession: 0001493152-25-020124
- form_type: 8-K
- ticker: SNAL
- cik: 0001886894
- company_name: Snail, Inc.
- filed_at: 2025-10-30T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.65
- calibrated_materiality_score: 0.65
- confidence: high
- sec_items: 1.01, 2.03, 3.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1886894/000149315225020124/0001493152-25-020124-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1886894/000149315225020124/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-25-020124
- JSON: https://secwatch.observer/filing/0001493152-25-020124.json
- Plain text: https://secwatch.observer/filing/0001493152-25-020124.txt

## Key facts
- Debt Financings
  Snail, Inc. incurred convertible notes of $2,200,000 with an accredited investor at 5% maturing twelve (12) months from the date of issuance.
  - Instrument: convertible notes
  - Principal: $2,200,000
  - Counterparty: an accredited investor
  - Rate: 5%
  - Maturity: twelve (12) months from the date of issuance
  - Event: incurrence
  source text: the Investor agreed to purchase from the Company in a private placement offering (the “Offering”) an unsecured convertible promissory Note in the aggregate principal amount of $2,200,000 (the “Note”). The Note had a purchase price of $2,000,000 due to the inclusion of a 10% original issuance discount (“OID”). The Company will pay a one-time interest charge on the
  evidence_url: https://www.sec.gov/Archives/edgar/data/1886894/000149315225020124/0001493152-25-020124-index.htm

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