Business
Ecoark Holdings Enters Into Agreement to Sell Convertible Preferred Stock
Ecoark Holdings Enters Into Agreement to Sell Convertible Preferred Stock.
About this update from Riskon International, Inc.
[{"type":"text","content":"\n SAN JOSE, Calif., Nov. 11, 2019 (GLOBE NEWSWIRE) -- Ecoark Holdings, Inc. (\"Ecoark\") (OTCQB: ZEST), today announced that it has entered into a definitive securities purchase agreement with two institutional accredited investors for the private placement of $1 million of Series C Convertible Preferred Stock.  The Series C Convertible Preferred Stock shall be convertible into the Company’s common stock at a conversion price of $0.725 per share.  Each investor shall also receive a five-year warrant to purchase the initial number of shares underlying the Series C Convertible Preferred Stock exercisable at $0.725 per share, subject to full ratchet price only anti-dilution provisions.  In addition, if the market price of the Common Stock for the five trading days prior to July 22, 2020 is less than $0.725, holders of the warrants shall be entitled to receive additional shares of common stock based on the number of shares of common stock that would have been issuable upon conversion of the Series C Convertible Preferred Stock had the initial conversion price been equal to the market price at such time (but not less than $0.25) less the number of shares of common stock issued or issuable upon exercise of the Series C Convertible Preferred Stock based on the $0.725 conversion price.  The private placement is expected to close on or about November 13, 2019, subject to customary closing conditions. The securities offered and to be sold by Ecoark in this private placement have not been registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (“SEC”) or an applicable exemption from registration requirements. Ecoark has agreed to file a registration statement with the SEC covering the resale of the shares of common stock underlying the Series C Convertible Preferred Stock and the warrants. This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state. About Ecoark Holdings, Inc. and Zest Labs Founded in 201...