Business
Interlink Electronics Announces Closing of Private Placement of 8.0% Series A Convertible Preferred Stock Raising $3.0 Million in Gross Proceeds
IRVINE, Calif., Oct. 25, 2021 /PRNewswire/ -- Interlink Electronics, Inc. (NASDAQ: LINK), an industry-leading trusted advisor and technology partner in the
About this update from Interlink Electronics, Inc.
[{"type":"text","content":"IRVINE, Calif., Oct. 25, 2021 /PRNewswire/ -- Interlink Electronics, Inc. (NASDAQ: LINK), an industry-leading trusted advisor and technology partner in the advancing world of human-machine interface (HMI) and force-sensing technologies, today announced it has closed a private placement of shares of its newly created 8.0% Series A Convertible Preferred Stock (the Series A Preferred) with individual accredited investors. Interlink sold 120,000 shares of Series A Preferred at an offering price of $25.00 per share, for gross proceeds of $3.0 million.\n\n \n \n \n \n \n \n\n \nThe Series A Preferred is convertible into shares of Interlink's common stock at the holder's option at a conversion price of $12.50 per share, or by Interlink at a conversion price of $12.50 per share if the closing price of the common stock equals or exceeds $15.00 (120% of the initial Conversion Price) for at least 20 out of 30 consecutive trading days immediately preceding the business day on which Interlink issues a press release announcing the mandatory conversion of Series A Preferred. The shares will not be redeemable prior to April 22, 2022, except upon the occurrence of a change of control. Dividends on the Series A Preferred accrue daily and are payable monthly in arrears on the 15th day of the calendar month, at the rate of 8.0% per annum of its liquidation preference, which is the equivalent to $2.00 per annum per share.\nThe offering closed on October 22, 2021. After payment of placement agent cash fees and expenses of the offering, Interlink received net proceeds of approximately $2.82 million. The purchase agreement for the offering allows for the sale by Interlink of additional shares of Series A Preferred, and we expect another closing in November 2021.\nInterlink anticipates using the net proceeds from the offering for working capital and other general corporate purposes, and to fund potential acquisitions.\nInterlink is required to file a resale registration statement with the Securities and Exchange Commission that covers the resale by the purchasers of the shares of common stock underlying the Series A Preferred Stock purchased by them in the Offering.\nThe securities offered in the offering have not been registered under the Securities Act of 1933 or applicable securities laws of any state or jurisdiction. Accordingly, the securities may ...