THE DILUTION MACHINE IS FULL THROTTLE!
A LAST DITCH RUN FOR THE MONEY? LOOKS THAT WAY.
NEW Non-Convertible Senior Note Offering to Finance Potential Sale of Some or All of the Assets of the Company
On September 13, 2017, Great Basin Scientific, Inc. (OTCQB:GBSN), a molecular diagnostics company (the “Company”) retained FTI Capital Advisors, LLC (“FTICA”), the investment banking subsidiary of FTI Consulting, as its exclusive financial advisor to provide the Company with strategic advice regarding the potential sale of some or all of the assets of the Company. If the Company is unable to consummate a sale to acquire some or all of the assets of the Company, the Company may be forced to cease operations entirely and may seek bankruptcy protection.
On September 27, 2017, the Company entered into certain Securities Purchase Agreements, each by and between the Company and a holder (each, an “Investor”) of the Company’s Series A Senior Secured Convertible Notes (the “Series A Notes”), pursuant to which the Investors, in the aggregate, acquired $2,772,541 in aggregate principal amount of non-convertible senior secured notes (the “New Senior Notes”) as follows:
•The Investors, in the aggregate, acquired $685,000 in aggregate principal amount of Initial New Senior Notes for an aggregate cash payment to the Company of $685,000; and
•The Investors, in the aggregate, exchanged $2,087,541 in aggregate principal amount and accrued interest of New Series A Notes into $2,087,541 in aggregate principal amount of Initial New Senior Notes.
The $685,000 in aggregate cash proceeds to the Company from the sale of the New Senior Notes will be used primarily to finance the search for a buyer to acquire some or all of the assets of the Company.
