AgriFORCE Reveals Consummation Of Convertible Debt Facility

AgriFORCE Growing Systems Ltd AGRI has entered into a definitive agreement for a convertible debt facility of an initial principal amount of $14.025 million and up to an additional principal amount of $33 million with accredited institutional investors.
The initial conversion price of the Notes is $2.22 per share.
Under the agreement, the company expects to receive an initial $12.75 million, less fees to be deducted, and can get up to $33 million in multiple tranches.
The Investors have received 3.5-year warrants with 65% warrant coverage at an initial exercise price of $2.442 per share.
The company intends to use the net proceeds towards closing the previously announced acquisition of Delphy Groep BV.
The notes are due in 2.5 years and amortize over 25 months.
Price Action: AGRI shares are trading lower by 6.31% at $2.08 on the last check Wednesday.