| Ticker | Status | Jurisdiction | Filing Date | CP Start | CP End | CP Loss | Deadline |
|---|
| Ticker | Case Name | Status | CP Start | CP End | Deadline | Settlement Amt |
|---|
| Ticker | Name | Date | Analyst Firm | Up/Down | Target ($) | Rating Change | Rating Current |
|---|
Iridex Corporation (NASDAQ:IRIX), a worldwide leader providing innovative and versatile laser-based medical systems and delivery devices for the treatment of glaucoma and retinal diseases, today announced the closing of a strategic investment in the company resulting in $10 million of gross proceeds along with an option by the investor to fund up to $10 million of additional proceeds for future growth initiatives (the "Transaction"). The sole counterparty to the Transaction is Novel Inspiration International Co., Ltd. ("Novel"), an investment company founded in 2020, which had the assistance of William Moore, formerly both a board member and Chief Executive Officer of the company.
The portion of the Transaction that closed today involves the sale of $6 million of new Series B Preferred Stock (the "Series B Preferred") and $4 million in aggregate principal amount of notes convertible into Series B Preferred. Pursuant to the Transaction documents, Iridex and Novel will jointly pursue growth initiatives which may result, at Novel's election, in the issuance of an additional $10 million in aggregate principal amount of notes (the "Growth Notes") convertible into common stock of the company.
The Series B Preferred and notes convertible into shares of Series B Preferred issued today were priced at a common stock equivalent of $2.00 per share. The Growth Notes will convert into common stock based upon the company's future public market common stock trading price, subject to a conversion price floor and escalating future maximum conversion prices. All of the convertible notes have three-year terms and bear interest at 12%, with such interest payable quarterly in the form of common stock, with the number of shares due based upon the company's future public market common stock trading price, in each case, subject to a conversion price floor and escalating future maximum conversion prices. The terms and conditions of the Series B Preferred, the convertible notes and certain other rights granted to Novel are further defined in the Transaction documents filed as exhibits to the Company's Form 8-K expected to be filed on the date hereof. Interested parties are encouraged to review the Transaction documents to fully understand the terms of the Transaction, which are summarized herein.
Posted In: IRIX
