DarkPulse Sells $500K in Preferred Stock
Ticker: DPLS · Form: 8-K · Filed: Aug 21, 2024 · CIK: 866439
| Field | Detail |
|---|---|
| Company | Darkpulse, INC. (DPLS) |
| Form Type | 8-K |
| Filed Date | Aug 21, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 3 min |
| Key Dollar Amounts | $2,673,423.19 |
| Sentiment | neutral |
Sentiment: neutral
Topics: financing, preferred-stock, warrants
TL;DR
DarkPulse just raised $500K by selling preferred stock and warrants to an accredited investor.
AI Summary
On July 24, 2024, DarkPulse, Inc. entered into a Material Definitive Agreement, specifically a Securities Purchase Agreement, with an accredited investor. This agreement involves the sale of 1,000,000 shares of Series B Convertible Preferred Stock at a purchase price of $0.50 per share, for a total of $500,000. The company also agreed to issue warrants to purchase an equivalent number of shares of its common stock.
Why It Matters
This transaction provides DarkPulse, Inc. with immediate capital, which can be used for operational expenses or strategic initiatives, potentially impacting its financial stability and growth prospects.
Risk Assessment
Risk Level: medium — The company is raising capital through preferred stock and warrants, which can dilute existing shareholders and may indicate a need for funding.
Key Numbers
- $500,000 — Capital Raised (From the sale of Series B Convertible Preferred Stock and warrants.)
- 1,000,000 — Shares Sold (Number of Series B Convertible Preferred Stock shares sold.)
- $0.50 — Price Per Share (Purchase price for each share of Series B Convertible Preferred Stock.)
Key Players & Entities
- DarkPulse, Inc. (company) — Filer
- Securities Purchase Agreement (agreement) — Material Definitive Agreement
- accredited investor (person) — Party to the agreement
- 1,000,000 (dollar_amount) — Number of Series B Convertible Preferred Stock shares sold
- $0.50 (dollar_amount) — Price per share
- $500,000 (dollar_amount) — Total purchase price
- Series B Convertible Preferred Stock (security) — Type of stock sold
- warrants (security) — Issued alongside stock
FAQ
What is the total amount of capital DarkPulse, Inc. raised in this transaction?
DarkPulse, Inc. raised a total of $500,000 from the sale of 1,000,000 shares of Series B Convertible Preferred Stock at $0.50 per share.
Who is the counterparty to the Securities Purchase Agreement?
The counterparty is an accredited investor.
What type of securities were sold?
The company sold 1,000,000 shares of Series B Convertible Preferred Stock and issued warrants to purchase an equivalent number of common stock shares.
On what date was the Securities Purchase Agreement entered into?
The Securities Purchase Agreement was entered into on July 24, 2024.
What is the exercise price of the warrants issued?
The filing does not specify the exercise price of the warrants issued; it only states that warrants to purchase an equivalent number of shares of common stock were issued.
Filing Stats: 673 words · 3 min read · ~2 pages · Grade level 12 · Accepted 2024-08-21 14:57:26
Key Financial Figures
- $2,673,423.19 — Stock (the " Settlement Shares ") up to $2,673,423.19 (the " Balance ") with the net proceeds
Filing Documents
- darkpulse_8k.htm (8-K) — 23KB
- 0001683168-24-005946.txt ( ) — 186KB
- dpls-20240724.xsd (EX-101.SCH) — 3KB
- dpls-20240724_lab.xml (EX-101.LAB) — 33KB
- dpls-20240724_pre.xml (EX-101.PRE) — 22KB
- darkpulse_8k_htm.xml (XML) — 3KB
01
Item 1.01 Entry Into A Material Definitive Agreement. Waiver and Rights Agreement On August 14, 2024, DarkPulse, Inc., a Delaware corporation (the " Company "), entered into the Waiver and Rights Agreement (the " Waiver Agreement ") with GHS Investments LLC, a Nevada limited liability company (" GHS "). The Company had made several puts under the various equity financing agreements with GHS without having an effective registration statement in place. The inability to have a continuous registration of defaults under the Registration Rights Agreement with GHS dated April 28, 2023, the Company agreed to grant to GHS the right to receive up to 962,489,983 shares of Common Stock, subject to a 4.99% beneficial ownership limitation. Settlement Agreement On July 24, 2024, the Company entered into the Settlement Agreement (the " Agreement ") with GS Capital Partners LLC (" GS "), pursuant to which, upon court approval of the Settlement and subject to a 4.99% beneficial ownership limitation, the Company will issue to GS free-trading shares of Common Stock (the " Settlement Shares ") up to $2,673,423.19 (the " Balance ") with the net proceeds of each drawdown subtracting from the Balance until the Balance is satisfied. The Settlement Shares will be issued to GS at a price per share equal to the average of the three lowest volume-weighted average prices as reported on the OTC Markets for the five prior trading days. GS will be allowed to sell the greater of (1) in one week, no more than 1% of the total outstanding shares of the Company as reported in the Company's most recently filed SEC report or registration statement on a noncumulative basis and the sales will be made at the "ask" price and not at the "bid price," and (2) 15% of the daily trading volume of the Common Stock on any single trading day. Under the Agreement, the Company wi
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. DarkPulse, Inc. Date: August 21, 2024 By: /s/ Dennis O'Leary Dennis O'Leary, Chief Executive Officer 2