---
schema_version: "secwatch.filing_event.v1"
accession: "0001641172-25-016815"
form_type: "8-K/A"
ticker: "PRPH"
cik: "0000868278"
company_name: "ProPhase Labs, Inc."
filed_at: "2025-06-27T23:59:59+00:00"
generated_at: "2026-05-18T17:09:54.362214+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.6
calibrated_materiality_score: 0.6
confidence: "high"
source: SEC EDGAR
---

# ProPhase Labs enters $1M bridge loan (20% OID) from CEO and investor; issues warrants

## Summary
- Each loan (CEO and investor) $500k principal, 20% OID ($625k face), 10% interest, 12-month maturity.
- Company issued 500,000 unvested warrants per loan (1M total) at $0.60/share, vesting conditional on shareholder approval.
- Loans secured but subordinate to up to $6M senior debt; proceeds for working capital; repayment via Nebula Genomics sale or Crown Medical collections.
- CEO loan is related-party transaction; Audit Committee approved; Karkus receives $10,000 expense reimbursement.

## SEC filing metadata
- accession: 0001641172-25-016815
- form_type: 8-K/A
- ticker: PRPH
- cik: 0000868278
- company_name: ProPhase Labs, Inc.
- filed_at: 2025-06-27T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.6
- calibrated_materiality_score: 0.6
- confidence: high
- sec_items: 1.01, 2.03, 3.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/868278/000164117225016815/0001641172-25-016815-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/868278/000164117225016815/form8-ka.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001641172-25-016815
- JSON: https://secwatch.observer/filing/0001641172-25-016815.json
- Plain text: https://secwatch.observer/filing/0001641172-25-016815.txt

## Key facts
- Debt Financings
  ProPhase Labs, Inc. incurred loan of $500,000 with Ted Karkus and an unaffiliated investor at 10% maturing twelve (12) months from the execution date.
  - Instrument: loan
  - Principal: $500,000
  - Counterparty: Ted Karkus and an unaffiliated investor
  - Rate: 10%
  - Maturity: twelve (12) months from the execution date
  - Event: incurrence
  source text: the Loan Agreement constitutes a related party transaction under Item 404(a) of Regulation S-K. The material terms of the loan are a non-convertible loan in the amount of $500,000, with a 20% original issue discount. The loan bears interest at an annual rate of 10% and matures twelve (12) months from the execution date. The Company will pay Mr. Karkus a
  evidence_url: https://www.sec.gov/Archives/edgar/data/868278/000164117225016815/0001641172-25-016815-index.htm

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