Item 2. Unregistered Sales of Equity Securities
Item 2. Unregistered Sales of Equity
Securities and Use of Proceeds
On June 24, 2022, 2,500,000 shares
of Series A Preferred Stock and 500,000 shares of Series B Preferred Stock were issued to certain institutional investors in a
private placement. The Preferred Stock has an aggregate stated value of $30,000,000 and each share of the Preferred Stock has
a purchase price of $9.50. The Company and the holders of the Preferred Stock entered into a registration rights agreement to
register the resale of the shares of common stock issuable upon conversion of the Preferred Stock. The $28.5 million in gross
proceeds from the sale of the Preferred Stock is being held in escrow and is expected to be used to fund the redemption of the
Preferred Stock, which is expected to occur in 2022.
Item 3. Defaults Upon Senior Securities
None.
Item 4. Mine Safety Disclosures
None.
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.