Ault Alliance, Inc. Expands Financial Support with Note Purchase Agreement and Warrants

Summary:
Ault Alliance, Inc. has entered into a note purchase agreement with Ault & Company, Inc. The agreement involves the issuance of a senior secured convertible promissory note and warrants to purchase shares of Ault Alliance’s common stock. The note accrues interest at 10% per annum and is due five years after issuance. It is secured by a first priority security interest in the company’s assets. The note is convertible into common stock at a conversion price determined by the greater of $0.10 per share or a 5% premium to the closing sale price of the stock. Ault & Company also received warrants to purchase common stock at a specific price. The note and warrants are subject to approval from the NYSE American and certain limitations on conversion and exercise.
Introduction:
Ault Alliance, Inc. (AAI) has announced a note purchase agreement with Ault & Company, Inc. (A&C), a related party. The agreement involves the issuance of a senior secured convertible promissory note and warrants to purchase shares of AAI’s common stock. This move is part of A&C’s ongoing commitment to support AAI’s financial commitments and business expansion.
Main Points:
– AAI has issued a senior secured convertible promissory note and warrants to A&C as part of a note purchase agreement.
– The note accrues interest at a rate of 10% per annum and is secured by a first priority security interest in the company’s assets.
– The note is convertible into common stock at a conversion price determined by the greater of $0.10 per share or a 5% premium to the closing sale price.
– A&C also received warrants to purchase common stock at a specific price.
– The note and warrants are subject to approval from the NYSE American and certain limitations on conversion and exercise.
Conclusion:
Ault Alliance, Inc. has entered into a note purchase agreement with Ault & Company, Inc., which involves the issuance of a senior secured convertible promissory note and warrants. This move demonstrates A&C’s commitment to supporting AAI’s financial obligations and business expansion. The note accrues interest at 10% per annum and is secured by the company’s assets. The note is convertible into common stock at a conversion price determined by the greater of $0.10 per share or a 5% premium to the closing sale price. The agreement is subject to approval and certain limitations.