ABVC BioPharma, Inc. Entered Into A Securities Purchase Agreement With Lind Global Fund II, LP, Issuing A Convertible Note And A Common Stock Purchase Warrant To Lind.
Portfolio Pulse from Benzinga Newsdesk
ABVC BioPharma, Inc. has entered into a securities purchase agreement with Lind Global Fund II, LP. The agreement includes a secured, convertible note for $1.2 million with a purchase price of $1 million, convertible into ABVC common stock at a price of $3.50 or 90% of the lowest VWAPs in the 20 days prior to conversion. Additionally, Lind received a warrant to purchase up to 1 million shares at $2 per share.
November 20, 2023 | 1:40 pm
News sentiment analysis
Sort by:
Ascending
NEUTRAL IMPACT
ABVC BioPharma's new agreement with Lind could lead to dilution of existing shares but provides immediate capital. Convertible note and warrant terms suggest potential confidence in ABVC's future performance.
The issuance of a convertible note and stock purchase warrant can provide ABVC with necessary capital, which may be positive in the short term. However, the potential conversion of the note and exercise of the warrant could lead to dilution of existing shares, which might be viewed negatively by current shareholders. The impact is likely neutral in the short term as the benefits of capital infusion may balance out dilution concerns.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 100