Loan & DebtJun 25, 2026, 01:56 PM
T Stamp Secures $5.51M Promissory Note
AI Summary
T Stamp Inc. has secured a $5.51 million secured promissory note from Streeterville Capital LLC, resulting in net proceeds of $5 million. The company stated this financing was undertaken to address short-selling pressure and demonstrate sufficient cash resources, bringing its total cash and receivables to over $7.6 million. The note carries a 9% interest rate, matures in two years, and includes stringent terms such as mandatory prepayments from future financings, an exit fee, and investor redemption rights, along with a 22% default interest rate.
Key Highlights
- Secured a $5,510,000 principal amount promissory note from Streeterville Capital LLC.
- Net proceeds from the note totaled $5,000,000 after original issue discount and expenses.
- The note carries a 9% annual interest rate and matures on June 25, 2028.
- Mandatory prepayment of 50% of proceeds from any future fundraising or financing transactions.
- An exit fee of 7% applies to all payments made on or after December 25, 2026.
- Investor has the right to redeem portions of the note monthly starting June 25, 2027.
- Default interest rate is 22% per annum if an event of default occurs.
- Company's cash and receivables increased to over $7.6 million post-financing.
Price Impact
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