NextPlat Corp. Closes $1.5M Convertible Note Private Placement
Ticker: NXPLW · Form: 8-K · Filed: Dec 18, 2024 · CIK: 1058307
| Field | Detail |
|---|---|
| Company | Nextplat Corp (NXPLW) |
| Form Type | 8-K |
| Filed Date | Dec 18, 2024 |
| Risk Level | medium |
| Pages | 4 |
| Reading Time | 5 min |
| Key Dollar Amounts | $0.0001, $2,000,000, $25,000, $0.03 |
| Sentiment | neutral |
Sentiment: neutral
Topics: financing, convertible-notes, private-placement
TL;DR
NextPlat raised $1.5M via convertible notes due Dec 2025 to fund operations.
AI Summary
On December 17, 2024, NextPlat Corp. announced the closing of its previously disclosed private placement of convertible notes, raising approximately $1.5 million in gross proceeds. The notes mature on December 17, 2025, and bear interest at a rate of 8% per annum. The company intends to use the net proceeds for general corporate purposes and working capital.
Why It Matters
This capital raise provides NextPlat Corp. with additional funds for operations, potentially strengthening its financial position and supporting its ongoing business activities.
Risk Assessment
Risk Level: medium — The company is raising capital through convertible notes, which can dilute existing shareholders if converted, and the use of proceeds for general corporate purposes indicates ongoing operational needs.
Key Numbers
- $1.5M — Gross Proceeds (Raised from private placement of convertible notes)
- 8% — Interest Rate (Annual interest on convertible notes)
- 1 year — Maturity (Convertible notes mature in one year)
Key Players & Entities
- NextPlat Corp. (company) — Registrant
- December 17, 2024 (date) — Date of Report
- $1.5 million (dollar_amount) — Gross proceeds from private placement
- December 17, 2025 (date) — Maturity date of convertible notes
- 8% (dollar_amount) — Annual interest rate on convertible notes
FAQ
What was the total amount of gross proceeds raised in the private placement?
NextPlat Corp. raised approximately $1.5 million in gross proceeds from the private placement of convertible notes.
When do the convertible notes mature?
The convertible notes mature on December 17, 2025.
What is the annual interest rate on the convertible notes?
The convertible notes bear interest at a rate of 8% per annum.
What is the intended use of the net proceeds from this offering?
The company intends to use the net proceeds for general corporate purposes and working capital.
What is the filing date of this 8-K report?
This 8-K report was filed on December 18, 2024, reporting events as of December 17, 2024.
Filing Stats: 1,264 words · 5 min read · ~4 pages · Grade level 13.6 · Accepted 2024-12-18 16:25:58
Key Financial Figures
- $0.0001 — h registered Common Stock , par value $0.0001 NXPL The Nasdaq Stock Market, Inc.
- $2,000,000 — which the Company may repurchase up to $2,000,000 of the currently outstanding shares of
- $25,000 — greed to pay Dawson a commitment fee of $25,000 and a commission of $0.03 per share (bu
- $0.03 — ment fee of $25,000 and a commission of $0.03 per share (but no ticket charges) after
Filing Documents
- nxpl20241218_8k.htm (8-K) — 34KB
- ex_758990.htm (EX-99.1) — 8KB
- ex_758990img001.jpg (GRAPHIC) — 3KB
- 0001437749-24-037851.txt ( ) — 192KB
- nxpl-20241217.xsd (EX-101.SCH) — 4KB
- nxpl-20241217_def.xml (EX-101.DEF) — 13KB
- nxpl-20241217_lab.xml (EX-101.LAB) — 17KB
- nxpl-20241217_pre.xml (EX-101.PRE) — 13KB
- nxpl20241218_8k_htm.xml (XML) — 4KB
01. Other Events
Item 8.01. Other Events On December 17, 2024, NextPlat Corp (the "Company") announced that it has approved a 10b5-1 Stock Repurchase Plan (the "Repurchase Plan") pursuant to which the Company may repurchase up to $2,000,000 of the currently outstanding shares of the Company's common stock. The Repurchase Plan was approved by the Company's Board of Directors and the Company retained Dawson James Securities, Inc. ("Dawson") to effect repurchases of shares under the Repurchase Plan. For its services, the Company agreed to pay Dawson a commitment fee of $25,000 and a commission of $0.03 per share (but no ticket charges) after the first 500,000 shares (for which there will be no commitment fee or ticket charges). Subject to any future extension in the discretion of the Company's Board of Directors, the Repurchase Plan is scheduled to expire on the earliest to occur of the following: (1) December 16, 2025, unless extended by the Company, (2) when a maximum of $2,000,000 of the Company's common stock has been repurchased, (3) delivery of a notice of early termination, (4) the commencement of any voluntary or involuntary bankruptcy, (5) the announcement of a tender or exchange offer, recapitalization, or other similar business combination; or (6) the failure of the Company to pay commitment fees and commissions to Dawson. In connection with the Repurchase Plan, the Company intends to repurchase shares through open market purchases, privately-negotiated transactions, or otherwise in accordance with applicable federal securities laws, including through the use of Rule 10b5-1 trading plans. The Company cannot predict when or if it will repurchase any shares of common stock as such stock repurchases will depend on a number of factors, including constraints specified in any Rule 10b5-1 trading plans, price, general business and market conditions, and alternative investment opportunities. The Repurchase Plan does not obligate the Company to acquire any particular amount of co
01 Financial Statement and Exhibits
Item 9.01 Financial Statement and Exhibits. (d) Exhibits Exhibit No Description 99.1 Press Release Announcing Share Repurchase Program, dated December 17, 2024. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 3 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. NEXTPLAT CORP. By: /s/ Charles M. Fernandez Name: Charles M. Fernandez Title: Executive Chairman and Chief Executive Officer Dated: December 18, 2024 4