By Laura Lutz
Des Moines, Jan. 3 - Irvine Sensors Corp. secured an $8.25 million non-convertible secured term loan with Longview Fund, LP and Alpha Capital Anstalt.
The two-year loan has an interest rate of 11%.
The company may prepay the loan without premium or penalty. If it is not prepaid before Dec. 29, 2008, the required principal payment at maturity will be 110% of the outstanding principal amount on that date.
Interest may be paid in cash or in shares valued at 80% of the average of the three lowest closing bid prices of the company's stock in the 20 trading days preceding the interest payment date.
The company issued to the investors warrants for 3 million shares, exercisable at $1.30 per share for five years.
In a separate transaction, the investors also bought $10 million principal amount of series 1 and series 2 subordinated secured convertible notes of Irvine from Pequot Private Equity Fund III, LP and Pequot Offshore Private Equity Partners III, LP. The notes were originally issued in a private placement in December 2005.
Some of the proceeds were used to repay a $5.9 million loan from Square 1 Bank. The rest will be used for working capital.
Based in Costa Mesa, Calif., Irvine Sensors produces technologies for three-dimensional imaging.
| Issuer: | Irvine Sensors Corp.
|
| Issue: | Secured term loan
|
| Amount: | $8.25 million
|
| Maturity: | Two years
|
| Coupon: | 11%
|
| Price: | Par
|
| Yield: | 11%
|
| Warrants: | For 3 million shares
|
| Warrant expiration: | Five years
|
| Warrant strike price: | $1.30
|
| Investors: | Longview Fund, LP; Alpha Capital Anstalt
|
| Settlement date: | Dec. 29
|
| Stock symbol: | Nasdaq: IRSN
|
| Stock price: | $2.05 at close Dec. 29
|
© 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.
