Nine-month 8% convertible debentures have a variable conversion price
By Devika Patel
Knoxville, Tenn., Aug. 19 – Endonovo Therapeutics Inc. sold $38,000 of its convertible debentures in a private placement during the three months ended June 30, according to a 10-Q filed Wednesday with the Securities and Exchange Commission.
The 8% debentures are due in nine months. The convertibles convert to common shares at a price equal to 58% of the average of the lowest three trading prices during the 15 days preceding conversion. The debenture may be redeemed at prices ranging from 120 to 145.
In addition, the company said it plans a private placement of common stock. It is not sure if it will be able to generate enough revenues to support its working capital needs or meet its obligations as they become due.
Endonovo also said in the filing that it reassigned a $100,000 note from one investor to another. During this reassignment, the company negotiated a new conversion feature with the new noteholder that would allow the investor to convert the note into common stock. The one-year note has no interest rate and contains a variable conversion rate equal to 60% of the volume weighted average price of the stock during the five days preceding conversion. The note may be prepaid.
The biotechnology company is based in Los Angeles.
| Issuer: | Endonovo Therapeutics Inc.
|
| Issue: | Convertible debentures
|
| Amount: | $38,000
|
| Maturity: | Nine months
|
| Coupon: | 8%
|
| Conversion price: | 58% of the average of the lowest three trading prices during the 15 days preceding conversion
|
| Call: | At prices ranging from 120 to 145
|
| Warrants: | No
|
| Investor: | Mastiff Alternative Opportunity Fund LP
|
| Announcement date: | Aug. 19
|
| Settlement date: | The three months ended June 30
|
| Stock symbol: | OTCBB: ENDV
|
| Stock price: | $0.20 at close on Aug. 18
|
| Market capitalization: | $14.77 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.
