Research Reports

Key takeaways

Issued Third Note on April 6, 2026, with principal of $99,614.04 due to conversion shortfall exceeding $94,000.

April Amendment on April 9, 2026, set fixed conversion price of $0.03 per share for all Notes.

Third Note conversion price fixed at lesser of $0.03 or prior day's closing price of $0.04, resulting in $0.03.

Extended Third Note maturity from April 6, 2027, to July 6, 2027.

Notes are senior secured convertible into common stock; securities unregistered under Securities Act.

Original Notes: $1,600,000 (Feb 2025) and $600,000 (Oct 2025), previously amended.

Full analysis

The April Amendment significantly lowers the conversion price from the prior $0.06 to $0.03 per share across the Amended Notes, increasing potential dilution upon conversion for the outstanding balances stemming from the original $1,600,000 and $600,000 notes. The Third Note issuance of $99,614.04 addresses a conversion shortfall mechanism triggered when net proceeds fell below 100% of principal after fees, with the threshold at $94,000 aggregate across notes. Extending maturity to July 6, 2027, provides additional time for repayment or conversion. As senior secured instruments, these notes rank highly in the capital structure, with protections like default penalties and restrictions on permitted indebtedness and liens. The unregistered status limits liquidity for the Holder, relying on exemptions under the Securities Act.

CVSI · CV Sciences, Inc.

Summary

Key takeaways

Full analysis