INDOOR HARVEST CORP (OTCMKTS:INQD) Files An 8-K Entry into a Material Definitive AgreementITEM 1.01 Entry Into a Material Definitive Agreement.
On September 14, 2018, Indoor Harvest Corp (the “Company”) entered into an 8% Fixed Convertible Promissory Note (the “Note”) with Tangiers Global, LLC (the “Lender”), in the aggregate principal amount of up to $550,000, with an initial principal amount of $170,000 which includes a $153,000 payment of the purchase price to the Company and a 10% original issue discount in the amount of $17,000. The maturity date of the Note for each payment made thereunder is six (6) months from the effective date of each such payment. Upon the occurrence of an event of default, as such term is defined under the Note, additional interest will accrue from the date of the event of default at a rate equal to the lower of 18% per annum or the highest rate permitted by law.
The Note is convertible at the option of the Lender at a conversion price of $0.08 per share into shares of the Company’s common stock. If there is a maturity default as such term is defined under the Note, the conversion price under the Note shall be adjusted to be equal to the lower of: (a) $0.08 or (b) 65% of the lowest trading price of the Company’s common stock during the 15 consecutive trading days prior to the date on which Lender elects to convert all or part of the Note.
The Company agreed to use the proceeds from the Note as follows: (1) $120,000 for general and administrative expenses and (2) $33,000 for outstanding payables. In connection with the Note, the Company caused its transfer agent to reserve 19,775,530 shares of the Company’s common stock, in the event that the Note is converted.
The foregoing description of the Note is only a summary of the material terms of the Note does not purport to be complete, and is qualified in its entirety by reference to the Note a copy of the form of which is filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated by reference herein.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
Indoor Harvest Corp ExhibitEX-10.1 2 ex10-1.htm Note: September 14,…To view the full exhibit click here
About INDOOR HARVEST CORP (OTCMKTS:INQD)
Indoor Harvest Corp. is a design-build contractor for the vertical farming and indoor farming industry. The Company’s principal lines of business are engineering, procurement and construction services, as well as manufactures a range of indoor farming fixtures and equipment. It provides production platforms, mechanical systems and complete custom designed build outs for both Controlled Environment Agriculture (CEA) and Building Integrated Agriculture (BIA). Its technologies include greenhouse production, hydroponics, aquaculture, aquaponics and aeroponics. It offers a vertical farm racking system with integrated light emitting diode (LED) lighting. Its vertical farm racking system is used for both aeroponic and hydroponic layered crop production within a CEA or BIA operation. It offers services under the Indoor Harvest brand. Its products include Indoor Harvest Modular HP-Aeroponics Platform, Indoor Harvest Shallow Raft VFRack Platform and Indoor Harvest Low Tide VFRack Platform.