secwatch.observer — SEC 8-K summary
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Issuer:     ProPhase Labs, Inc. (PRPH)
CIK:        0000868278
Form:       8-K
Filed at:   2025-07-28T23:59:59+00:00
Accession:  0001641172-25-021109
Event type: debt
Sentiment:  negative
Materiality: 0.75
Item codes: 1.01, 2.03, 3.02, 8.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

ProPhase Labs raises $2.75M via senior secured convertible notes with 20% OID and warrants
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- Notes have $3.75M face value after 20% OID; net proceeds ~$2.75M; mature July 22, 2026.
- Notes bear 10% interest; convertible after 4 months at lower of 80% of trailing 10-day VWAP or fixed max with floor/caps.
- Warrants to purchase up to 5.25M shares at $0.50/share for 5 years; reserve may increase to 226M shares after shareholder vote.
- CEO and another investor subordinated prior $1M secured loans; security interest covers substantially all assets (excl. certain subsidiaries).
- Special meeting of stockholders set for Aug 29, 2025 to vote on authorizing additional shares.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/868278/000164117225021109/0001641172-25-021109-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/868278/000164117225021109/form8-k.htm
  HTML page:      https://secwatch.observer/filing/0001641172-25-021109

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer