FLUX POWER HOLDINGS, INC. (OTCMKTS:FLUX) Files An 8-K Entry into a Material Definitive Agreement

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FLUX POWER HOLDINGS, INC. (OTCMKTS:FLUX) Files An 8-K Entry into a Material Definitive Agreement

FLUX POWER HOLDINGS, INC. (OTCMKTS:FLUX) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01

Effective as of April 30, 2020, Flux Power, Inc. (“Flux”), a wholly-owned subsidiary of Flux Power Holdings, Inc. (the “Registrant”), and Cleveland Capital, L.P. (“Cleveland”), a holder of the Unsecured Promissory Note issued on July 3, 2019 (“Original Note”), as amended by that (i) certain First Amendment to the Unsecured Promissory Note dated September 1, 2019 (“First Amendment”), (ii) certain Second Amendment to the Unsecured Promissory Note dated December 3, 2019 (“Second Amendment”), (iii) that certain Third Amendment to the Unsecured Promissory Note dated December 31, 2019 (“Third Amendment”), and (iv) that certain Fourth Amendment to the Unsecured Promissory Note dated March 31, 2020 (“Fourth Amendment” and together with the Original Note, the First Amendment, the Second Amendment and the Third Amendment, the “Amended Note”), executed the Fifth Amendment to the Unsecured Promissory Note (“Fifth Amendment”) which (a) extends the maturity date of the Amended Note from April 30, 2020 to May 31, 2020, and (b) capitalized all accrued and unpaid interest to the principal amount as of April 30, 2020. The Amended Note was issued to that certain Loan Agreement dated July 3, 2019 by and among, Flux, the Registrant and Cleveland.

Cleveland is also a party to that certain Second Amended and Restated Credit Facility Agreement dated October 10, 2019, with Flux to which Cleveland and other lenders have agreed to provide Flux with a line of credit for up to $12,000,000 (“LOC”). In connection with the LOC, Flux issued a secured promissory note to Cleveland and became a party to that certain Amended and Restated Security Agreement, as amended, with Cleveland and other lenders under the LOC.

This summary of Fifth Amendment does not purport to be complete and is qualified in its entirety by the terms and conditions of the Fifth Amendment, a copy of which is filed as Exhibit 10.1 hereto and incorporated herein by reference.

The information disclosed in Item 1.01 of this Current Report on Form 8-K is incorporated by reference into this Item 2.03.


Flux Power Holdings, Inc. Exhibit
EX-10.1 2 ex10-1.htm   Exhibit 10.1   FIFTH AMENDMENT TO THE UNSECURED PROMISSORY NOTE   THIS FIFTH AMENDMENT TO THE UNSECURED PROMISSORY NOTE (this “Fifth Amendment”),…
To view the full exhibit click here

About FLUX POWER HOLDINGS, INC. (OTCMKTS:FLUX)

Flux Power Holdings, Inc., designs, develops and sells rechargeable advanced lithium-ion batteries for industrial uses, including UL 2771 Listed lithium-ion LiFT Pack forklift batteries. The Company offers a high power battery cell management system (BMS). Its BMS provides three functions to its battery systems: cell balancing, performed by adjusting the capacity of each cell in a storage system according to temperature, voltage, and internal impedance metrics; monitoring, performed by way of a physical connection to individual cells for monitoring voltage and performing calculations from basic metrics to determine remaining capacity and internal impedance, and error reporting, performed by analyzing data from monitoring each individual cell and making decisions on whether the individual cell or the system is operating out of normal specifications. Using its battery management technology, it offers integrated energy storage solutions or custom modular standalone systems to its clients.