Loan & DebtApr 9, 2026, 04:07 PM
INTRUSION INC Secures $3.0M in Cash Proceeds from $3.23M Secured Promissory Note with Streeterville Capital
AI Summary
INTRUSION INC (INTZ) has entered into a Note Purchase Agreement with Streeterville Capital, LLC, securing $3.0 million in cash proceeds. The financing involves a Secured Promissory Note with an original principal amount of $3.23 million, reflecting an original issue discount of $210,000 and $20,000 in transaction expenses. This capital infusion is secured by a first-priority interest in all of the Company's assets and intellectual property, providing crucial liquidity but with notable costs and investor rights. The terms include a 7% annual interest rate, a 24-month maturity, and a significant monitoring fee provision, indicating a potentially expensive form of financing for the company.
Key Highlights
- INTRUSION INC issued a Secured Promissory Note with an original principal amount of $3,230,000 to Streeterville Capital, LLC.
- The Company received cash proceeds of $3,000,000, reflecting an original issue discount of $210,000 and $20,000 in transaction expenses.
- The Note bears interest at 7% per annum, compounded daily, and matures 24 months after issuance.
- A monitoring fee provision automatically increases the Outstanding Balance by approximately 17.65% after 90 days.
- The Note is secured by a first-priority security interest in all of the Company’s assets and intellectual property.
- The Investor holds monthly redemption rights of up to $250,000 beginning six months after issuance and a 10% participation right in future debt or equity financings.
Price Impact
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