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Canoo | 8-K: Securities Purchase Agreement

SEC announcement ·  Apr 11 06:05
Summary by Moomoo AI
On April 9, 2024, Canoo Inc., an automotive company, entered into a securities purchase agreement with entities managed by Tony Aquila, the CEO and Executive Chair of Canoo. The agreement involves the sale of 10,000 shares of Series C Cumulative Perpetual Redeemable Preferred Stock and warrants to purchase approximately 4.47 million shares of common stock, amounting to a total purchase price of $10 million. The transaction is expected to close within 20 business days, subject to standard conditions. Additionally, the purchasers have an option to buy up to an additional $15 million of the same securities under similar terms within 20 business days. Canoo has agreed to file a shelf registration statement for the resale of the underlying shares and will hold a special meeting to seek shareholder...Show More
On April 9, 2024, Canoo Inc., an automotive company, entered into a securities purchase agreement with entities managed by Tony Aquila, the CEO and Executive Chair of Canoo. The agreement involves the sale of 10,000 shares of Series C Cumulative Perpetual Redeemable Preferred Stock and warrants to purchase approximately 4.47 million shares of common stock, amounting to a total purchase price of $10 million. The transaction is expected to close within 20 business days, subject to standard conditions. Additionally, the purchasers have an option to buy up to an additional $15 million of the same securities under similar terms within 20 business days. Canoo has agreed to file a shelf registration statement for the resale of the underlying shares and will hold a special meeting to seek shareholder approval if the issuance exceeds 19.99% of the common stock outstanding as of the agreement date. The Preferred Stock ranks senior to common stock regarding dividends and liquidation preference, with a dividend rate starting at 7.50% per annum. The Preferred Stock is convertible into common stock at a price subject to certain conditions, and the holders have voting rights equivalent to common stockholders. The Warrants are exercisable immediately upon issuance at a price of $2.2355 and will expire in five years. The securities issued are exempt from registration under the Securities Act of 1933, as amended, and were sold to accredited investors.

This announcement is a separate document:

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