Comstock Inc. Files 8-K on Key Agreements and Equity Sales

TL;DR

Comstock Inc. (LODE) filed an 8-K detailing new agreements and equity sales.

AI Summary

Comstock Inc. filed an 8-K on December 4, 2024, reporting on several key events. These include entering into a material definitive agreement, creating a direct financial obligation, and unregistered sales of equity securities. The company, formerly known as Comstock Mining Inc., is incorporated in Nevada and operates in the industrial organic chemicals sector.

Why It Matters

This filing indicates significant financial and contractual activities for Comstock Inc., potentially impacting its financial obligations and shareholder structure.

Risk Assessment

Risk Level: medium — The filing involves material definitive agreements and financial obligations, which can introduce financial risks and changes in equity structure.

Key Players & Entities

• Comstock Inc. (company) — Registrant
• Comstock Mining Inc. (company) — Former Company Name
• Nevada (jurisdiction) — State of Incorporation
• December 4, 2024 (date) — Date of Report

FAQ

Key Financial Figures

• $0.000666 — ch registered Common Stock , par value $0.000666 per share LODE NYSE AMERICAN Indica
• $2,659,574 — sue up an aggregate principal amount of $2,659,574 (the "Principal Amount"), with an 6% or
• $2,500,000 — al closing date, the Investor will fund $2,500,000, which shall result in an aggregate pri
• $2,127,659 — ult in an aggregate principal amount of $2,127,659 (that is, $2,000,000 in cash plus origi
• $2,000,000 — rincipal amount of $2,127,659 (that is, $2,000,000 in cash plus original issue discount of
• $127,659 — in cash plus original issue discount of $127,659). On or before January 1, 2025, the Com
• $500,000 — y will receive an additional funding of $500,000, which shall result in a principal amou
• $531,915 — cipal amount for such second tranche of $531,915 (that is, $500,000 in cash plus $31,915
• $31,915 — 531,915 (that is, $500,000 in cash plus $31,915 of original issue discount). The Conver

Filing Documents

• lode20241202_8k.htm (8-K) — 31KB
• ex_754077.htm (EX-10.1) — 200KB
• ex_754078.htm (EX-10.2) — 114KB
• 0001437749-24-036700.txt ( ) — 549KB
• lode-20241204.xsd (EX-101.SCH) — 3KB
• lode-20241204_def.xml (EX-101.DEF) — 11KB
• lode-20241204_lab.xml (EX-101.LAB) — 15KB
• lode-20241204_pre.xml (EX-101.PRE) — 11KB
• lode20241202_8k_htm.xml (XML) — 3KB

01 Entry into a Material Definitive Agreement

Item 1.01 Entry into a Material Definitive Agreement. On December 4, 2024, Comstock Inc. (the "Company") entered into a securities purchase agreement (the "Securities Purchase Agreement") with an investor (the "Investor"), relating to the issuance of an 6.0% Convertible Promissory Note due April 4, 2026 (the "Convertible Note"). Under the Convertible Note, the Company may issue up an aggregate principal amount of $2,659,574 (the "Principal Amount"), with an 6% original issue discount. On the initial closing date, the Investor will fund $2,500,000, which shall result in an aggregate principal amount of $2,127,659 (that is, $2,000,000 in cash plus original issue discount of $127,659). On or before January 1, 2025, the Company will receive an additional funding of $500,000, which shall result in a principal amount for such second tranche of $531,915 (that is, $500,000 in cash plus $31,915 of original issue discount). The Convertible Note accrues interest at a per annum interest rate of 6% and can be prepaid by providing 30-day notice. Such prepayment shall be made at 120% of the Principal Amount, plus accrued interest. The Convertible Note will be convertible into common stock of the Company at: (i) 200% of the Closing Price on the Disbursement Date, as defined in the Convertible Note, for the first consecutive 20 calendar days after the Disbursement Date, and (ii) thereafter, 88% of the lowest VWAP (80% during an event of default) of the 6 trading days prior to and including the date of the Conversion Notice. "VWAP" means, for or as of any date, the dollar volume-weighted average price for such security on the trading market as reported by www.quotemedia.com. On the eleventh day following the closing of the Convertible Note, the Company will issue to the Investor (i), restricted shares of the Company's common stock equal to 2% of the Principal Amount of the Convertible Note, based on a price per share equal to the 20-day VWAP for the VWAP Period beginning on the

02 Unregistered Sale of Equity Securities

Item 3.02 Unregistered Sale of Equity Securities. The information required to be disclosed in Item 1.01 is incorporated herein by reference to this Item 3.02.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. d) Exhibits . 10.1 Securities Purchase Agreement 10.2 Convertible Note 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. COMSTOCK INC. Date: December 4, 2024 By: /s/ Corrado De Gasperis Corrado De Gasperis Executive Chairman and Chief Executive Officer

View Full Filing

View this 8-K filing on SEC EDGAR