5% discounted senior note sold to Lincoln Park with six-year warrants
By Devika Patel
Knoxville, Tenn., Aug. 18 – Konared Corp. sold $250,000 of senior convertible notes for $225,000 to Lincoln Park Capital Fund, LLC on Aug. 18, according to an 8-K filed Tuesday with the Securities and Exchange Commission.
The 5% debenture matures on Dec. 31, 2016. It is convertible into common stock at $0.07 per share, which is a 30% discount to the Aug. 17 closing share price of $0.10. The debt may be prepaid at 120.
Lincoln Park also received warrants for 3.75 million shares, which are each exercisable at $0.10 for six years. The strike price is identical to the Aug. 17 closing share price.
The Kalaheo, Hawaii, company produces extracts and powders from the coffee fruit for use in antioxidant juices and organic green teas as well as ingredients that can be added to food, beverages and nutritional products.
Issuer: | Konared Corp.
|
Issue: | Senior convertible note
|
Amount: | $250,000
|
Maturity: | Dec. 31, 2016
|
Coupon: | 5%
|
Price: | $0.07
|
Call: | At 120
|
Warrants: | For 3.75 million shares
|
Warrant expiration: | Six years
|
Warrant strike price: | $0.10
|
Investor: | Lincoln Park Capital Fund, LLC
|
Settlement date: | Aug. 18
|
Stock symbol: | OTCBB: KRED
|
Stock price: | $0.10 at close Aug. 17
|
Market capitalization: | $9.28 million
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.