Summary by Futu AI
Aclarion has completed a $1 million financing through the issuance of Series C convertible preferred stock and warrants on September 30, 2024. The company issued 1,000 shares of Series C preferred stock at $1,000 per share, convertible into common stock at $0.1759 per share, along with warrants for 5,685,049 common shares exercisable at $0.1759 with a 5.5-year term.The Series C preferred stock carries a 10% annual dividend payable quarterly, with options to pay in common stock or capitalize the dividends. The conversion price is subject to anti-dilution adjustments, and the stock ranks senior to common stock in dividends and liquidation rights. The company maintains redemption rights with a 25% premium.The agreement includes registration rights requiring Aclarion to file a registration statement within 30 days for the resale of shares issuable upon conversion of preferred stock and exercise of warrants. Both warrant exercise and preferred stock conversion are limited to 19.99% of outstanding common shares unless stockholder approval is obtained.
