DealsMay 7, 2026, 04:14 PM
BranchOut Food Gets $750K from Warrant Exercise, Amends Note
AI Summary
BranchOut Food Inc. entered into an agreement with Kaufman Kapital LLC, resulting in Kaufman exercising a warrant for 500,000 shares of common stock, providing $750,000 in cash to the company. Concurrently, the maturity date of a $3.4 million Senior Secured Convertible Promissory Note held by Kaufman was extended from December 31, 2026, to December 31, 2027. The interest rate on this note was also reduced from 12% to 8%, effective May 7, 2026, and new prepayment restrictions were established. The company also committed to filing registration statements for the resale of the warrant shares and future interest conversion shares.
Key Highlights
- Kaufman Kapital exercised a warrant for 500,000 common shares at $1.50 per share.
- BranchOut Food received $750,000 in cash from the warrant exercise.
- Maturity of the $3.4M Convertible Note extended from Dec 31, 2026, to Dec 31, 2027.
- Interest rate on the Convertible Note reduced from 12% to 8% effective May 7, 2026.
- Company agreed not to prepay over $2,400,000 of principal before Sep 30, 2027.
- Company to file registration statement within 30 days for resale of 500,000 shares.
- Company to file additional registration statement for interest conversion shares upon request.
Price Impact
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