Limitless Venture amends terms for senior secured convertible promissory note

Mar. 03, 2022 9:26 AM ETLVGIBy: Jessica Kuruthukulangara, SA News Editor
  • Limitless Venture (OTCPK:LVGI) and Leonite Capital agreed on amended terms for LVGI's senior secured convertible promissory note issued to Leonite on Aug. 13, 2020.
  • The amendment places the note in a 6-month forbearance period, during which Leonite may convert outstanding note principal into newly issued LVGI stock at a fixed price of $0.01/share.
  • The amendment sets the note's interest rate for the forbearance period at the greater of 10% per annum or the U.S. Prime Rate (currently 3.25%) plus 6.75% and stops interest from accruing at a default rate of interest.
  • The current outstanding note principal is ~$1.3M, not including a $300K contingent forbearance fee that locks in the updated note terms, but will be forgiven if the current outstanding balance is repaid within 18 months.

Recommended For You

Comments

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.