The Tel Aviv-based drug developer stated that the October 6, 2025, agreement outlines repayment terms for prior loans extended to AutoMax and supersedes the earlier merger pact. Both companies agreed to end all merger-related obligations and settle financial commitments.

Loan Repayment Terms

Under the new framework, AutoMax will repay $4.25 million, plus 9% annual interest, compounded yearly, in a single payment by January 1, 2028. A separate $2 million loan will be repaid in monthly installments of $60,000, beginning November 20, 2025, with an 8% annual interest rate and a one-time payment of $114,523 in accrued interest.

Also Read: SciSparc Stock Shoots Up Over 89% After Hours: What’s Going On?

Background on the Merger

The companies first agreed to merge in April 2024, with plans for SciSparc to acquire AutoMax through a reverse merger structure. AutoMax shareholders approved the deal earlier in 2025, and SciSparc investors followed in August. The transaction was intended to diversify SciSparc’s operations and add exposure to Israel’s parallel vehicle import and electric vehicle markets.

Strategic Focus After Termination

Related ETFs: iShares Biotechnology ETF (NASDAQ:IBB) and SPDR S&P Biotech ETF (NYSE:XBI).

Price Action: SPRC shares were trading higher by 2.32% to $4.86 premarket at last check Monday.

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