Notes and series A convertible preferreds being sold to NXT Investment
By Devika Patel
Knoxville, Tenn., Nov. 29 - NXT Nutritionals Holdings Inc. negotiated a private placement of up to $1.5 million of 13% four-year senior secured promissory notes with NXT Investment Partners, LLC on Nov. 21, according to an 8-K filed Tuesday with the Securities and Exchange Commission. The company raised $1 million at pricing.
The notes were accompanied by 13,075,468 series A convertible preferred shares. The preferreds carry a dividend equal to the greater of 10% of the note's outstanding principal or 10% of the company's net income above $500,000 for the fiscal year at the time of calculation. The preferreds are convertible into an equal number of common shares.
Settlement of the remaining $500,000 is expected by Jan. 20.
NXT Nutritional is a Holyoke, Mass.-based developer and marketer of proprietary, patent-pending healthy alternative sweeteners, food and beverage products.
| Issuer: | NXT Nutritionals Holdings Inc.
|
| Issue: | Senior secured promissory notes, 13,075,468 series A convertible preferred shares
|
| Amount: | $1.5 million (maximum)
|
| Maturity: | Four years
|
| Coupon: | 13%
|
| Warrants: | No
|
| Investor: | NXT Investment Partners, LLC
|
| Pricing date: | Nov. 21
|
| Settlement date: | Nov. 21 (for $1 million), Jan. 20
|
| Stock symbol: | OTCBB: NXTHE
|
| Stock price: | $0.04 at close Nov. 21
|
| Market capitalization: | $2.04 million
|
|
|
| Preferreds
|
| Dividend: | Greater of 10% of the note's outstanding principal or 10% of the company's current net income above $500,000
|
© 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.
