Loan & DebtNov 3, 2026, 04:11 PM
Ocean Power Technologies Secures $373,750 Note with Conversion Option
AI Summary
Ocean Power Technologies, Inc. has entered into a Securities Purchase Agreement with Vanquish Funding Group Inc. for a $373,750 promissory note, which includes an original issue discount. The company also has access to additional financing of up to $2,875,000 over the next year. The note matures in October 2027 and carries a 12% interest rate. Vanquish Funding Group has the right to convert the note into company stock under specific default conditions, at a price representing a 25% discount to the market price.
Key Highlights
- Ocean Power Technologies secured a $373,750 promissory note from Vanquish Funding Group.
- The note carries a 12% interest rate and matures on October 30, 2027.
- Additional financing tranches of up to $2,875,000 are available over the next twelve months.
- The company may prepay the note with discounts ranging from 2% to 4% within 180 days.
- Vanquish Funding Group has the option to convert the outstanding balance into company stock under certain default conditions.
- The conversion price is set at 75% of the lowest trading price during the 10 days preceding conversion.
Price Impact
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