2023-04-11 08:47:36 ET
- Eos Energy Enterprises ( NASDAQ: EOSE ) shares plunged around 15% premarket on Tuesday after the company announced the sale of a $15M convertible promissory note in a private placement to Yorkville.
- The promissory note has a maturity date of August 31, 2023 and was issued with a 2% original issue discount.
- It is convertible into shares of the company's common stock at a price equal to the lower of $2.8093 and 90.0% of the lowest daily volume weighted average price of the company’s common stock during the seven consecutive trading days immediately preceding the conversion date.
- Interest shall accrue on the outstanding principal balance of the promissory note, beginning on the 29th day following the date of issuance, at an annual rate equal to 5.0% unless and until there is an event of default, upon the occurrence of which, interest shall accrue at a rate of 15% per year until collected in full.
- Proceeds from the sale will be used for working capital and other general corporate purposes.
For further details see:
Eos Energy stock drops after sale of $15M convertible bonds