WONDERFUL WORLD OF WARRANTS

[creede]

XELAW DD

Shares Out: 34,988,302
Strike Price: $11.50
Conversion Rate: 2 for 1
Expiration: 06/12/2022

Warrants

At June 30, 2020, there were a total of 34,988,302 warrants outstanding. As part of its IPO, Quinpario had issued 35,000,000 units including one share of Common Stock and one warrant of which 34,988,302 have been separated from the original unit and 11,698 warrants remain an unseparated part of the originally issued units which are included in the number of shares of common stock outstanding referred to above. The warrants are traded on the OTC bulletin board as of June 30, 2020.

Each warrant entitles the holder to purchase one-half of one share of Common Stock at a price of $5.75 per half share ($11.50 per whole share). Warrants may be exercised only for a whole number of shares of Common Stock. No fractional shares will be issued upon exercise of the warrants. Each warrant is currently exercisable and will expire July 12, 2022 (five years after the completion of the Novitex Business Combination), or earlier upon redemption.

The Company may call the warrants for redemption at a price of $0.01 per warrant upon a minimum of 30 days’ prior written notice of redemption, if, and only if, the last sales price of the shares of Common Stock equals or exceeds $24.00 per share for any 20 trading days within a 30 trading day period (the “30-day trading period”) ending three business days before the Company sends the notice of redemption, and if, and only if, there is a current registration statement in effect with respect to the shares of Common Stock underlying such warrants commencing five business days prior to the 30-day trading period and continuing each day thereafter until the date of redemption.

https://www.otcmarkets.com/filing/html?id=14322701&guid=pDo6UapAmqzNath

Interesting side note/warning.

Reads to me they can buy the warrants back for .01 each if the price of the commons > or = $24.00 for more than 30 days.

If the commons ever cross $24.00 be sure to convert all of your warrants before the 30 days runs out.

They don't have to worry about that with me!