Shares of Satellogic Inc (NASDAQ:SATL) are trading higher after the company said its wholly-owned subsidiary, Nettar Group, Inc. has entered into a note purchase agreement led by Tether Investments Limited.
Under the agreement, the borrower has agreed to issue floating rate secured convertible promissory notes in the aggregate principal amount of $30 million to the purchaser.
The net proceeds from the Offering, after deducting transaction fees and other debt issuance costs, were about $27.6 million.
The borrower has the ability to issue additional secured convertible notes, provided the aggregate principal amount outstanding does not exceed $50 million.
The secured convertible notes initially bear interest at a rate of SOFR plus 6.50% per annum and mature on April 12, 2028.
Satellogic's mission is to democratize access to geospatial data through its information platform of high-resolution images to help solve problems including climate change, energy supply, and food security.
Price Action: SATL shares are trading higher by 15.7% at $1.76 in premarket on the last check Monday.
Image: Courtesy of Satellogic