Loan & DebtAug 5, 2026, 02:54 PM
Elite Health Systems Secures $525K Note from CEO
AI Summary
Elite Health Systems Inc. has entered into a material agreement to secure $525,000 in financing from its CEO and chair, Dr. Prasad Jeereddi. This financing is structured as a subordinated note due in July 2027 with a 10% interest rate. The agreement also includes a warrant for 110,526 shares of common stock, exercisable at $0.95 per share until July 2031. The company has the option to accept further investments up to $1.5 million under similar terms.
Key Highlights
- Elite Health Systems Inc. secured a $525,000 subordinated note from CEO Dr. Prasad Jeereddi.
- The note is due July 31, 2027, carries a 10% annual interest rate, and has a 2% prepayment penalty.
- A warrant agreement was simultaneously entered for 110,526 shares at an exercise price of $0.95 per share.
- The warrant is exercisable until July 31, 2031, and includes a cashless exercise feature.
- The company may accept additional investment up to an aggregate of $1.5 million on the same terms.
Price Impact
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