CalEthos secures $16M promissory note from director-related entity, issues warrant for 6M shares at $0.50

CalEthos, Inc.

Issued $16M promissory note (8% interest, due Dec 31, 2028) and warrant for 6M shares at $0.50 to SFO IDF LLC, an entity owned by trust for director Sean Fontenot's family.
Proceeds of $15M new loan will fund Raft River Data Center Campus joint venture with GW Finance, including $6M for a letter of credit.
SFO IDF is entitled to 50% of net proceeds from Phase 1 site sales (expected ~$37.5M), with additional revenue-sharing if shortfall.
For future phases 2 or 3, CalEthos to pay $10M per 300MW of construction-ready sites sold or leased.

Key facts

Extracted from this filing and checked against the source text.

Equity Issuances SEC 8-K Item 3.02/3.03 confidence 0.85

CalEthos, Inc. issued up to 5,000,000 shares of our common stock of warrant to SFO IDF LLC for a loan to us in the amount of $15,000,000.

Security: warrant
Shares: up to 5,000,000 shares of our common stock
Purchaser: SFO IDF LLC
Consideration: a loan to us in the amount of $15,000,000

Exact text from the filing

SFO IDF LLC, a company owned and controlled by a trust established for the benefit of certain family members of Sean Fontenot, a director of our company, the trustees of which are independent and not affiliated with Mr. Fontenot ("SFO IDF"), made a loan to us in the amount of $15,000,000 in consideration for which we issued to SFO IDF a promissory note in the principal amount of $15,000,000 that bears interest at the rate of 8% per annum and matures on December 31, 2028 (the "Note") and a seven-year warrant to purchase up to 5,000,000 shares of our common stock with an exercise price of $0.50 per share (the "Warrant").

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CalEthos, Inc. filing history →

Source: SEC EDGAR

accession 0001493152-26-019595

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