Alkame Holdings, Inc. (OTCBB:PINS) Files An 8-K Entry into a Material Definitive Agreement

Alkame Holdings, Inc. (OTCBB:PINS) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement.

Story continues below

On April 17, 2017, Alkame Holdings, Inc. (the “Company”) entered into a Stock Purchase Agreement (the “SPA”) with an accredited investor group (the “Investor” or “Buyer”).  Under the terms of the SPA, the Investor will purchase up to $550,000 of convertible debentures in a series of four tranches. The first tranche will be in the amount of $220,000, with each of the three successive tranches in the amount of $110,000.  

Each note will be issued with a 10% Original Issue Discount (“OID”) such that the net amount received by the Company will be either $200,000 or $100,000 per debenture.  The convertible debentures are due and payable one year from date of issuance, and will carry interest at a rate of 8% per annum from the date of issuance.  Each debenture will be convertible into common stock of the Company at the lower of (i) 70% of the lowest trading price of the Common Stock as reported on the OTCPK marketplace which the Company’s shares are traded or any market upon which the Common Stock may be traded in the future (“Exchange”), during the twenty (20) trading days immediately preceding the closing date or (ii) 70% of the lowest trading price of the Common Stock as reported on the OTCPK marketplace which the Company’s shares are traded or any market upon which the Common Stock may be traded in the future (“Exchange”), during the twenty 20 trading days immediately preceding the receipt of a notice of conversion.  

Subsequent funding’s after the second tranche are conditioned on the Company completing the filing of its audits within 59 days of the date of the first funding, and subsequent tranches will require completion of the remaining filings necessary to bring the Company current in its reporting obligations.  

Additionally, while the Notes are outstanding, the Company is prohibited form entering into any convertible debentures or 3(A)(10) financings with another party without prior written consent of the Buyer.

The Buyer has, for a period of 6 months from the sale of the first note purchased, to invest up to an additional $500,000, in one or more tranches, on the same terms as those in the first four notes being purchased.  

Section 2 – Financial Information

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

Reference is made to the disclosures set forth under Item 1.01 of this Current Report, with disclosures incorporated herein by reference.


About Alkame Holdings, Inc. (OTCBB:PINS)

Alkame Holdings, Inc. is a health and wellness technology holding company. The Company is in the business of distributing bottled/canned alkaline, antioxidant and oxygenated water. The Company is acquiring and seeking to acquire companies, rights and technologies. It is also pursuing in the aquaculture sector. It is focused on introducing, promoting, marketing and establishing channels of distribution to sell its product to a range of consumers in the United States, Canada and Mexico, and globally. The Company is re-exploring other uses of its water to diversify its portfolio of products to include other specialty uses outside of the bottled water and health water markets. Its subsidiaries, Alkame Water, Inc. and Xtreme Technologies Inc. market and distribute enhanced waters utilizing a formula and technology to create water with various properties. Alkame Water, Inc. is pursuing the human consumable industries. Xtreme Technologies Inc. is pursuing the household pet industries.

Alkame Holdings, Inc. (OTCBB:PINS) Recent Trading Information

Alkame Holdings, Inc. (OTCBB:PINS) closed its last trading session at 0.480 with shares trading hands.

An ad to help with our costs