Hall of Fame Resort and Entertainment Co (HOFV)

[ByMorStock]

Exercisable at $6.90 A SHARE?

https://newsfilter.io/a/a211673f53d17b4732b5e9a89bd58c71

"Item 1.01 Entry into a Material Definitive Agreement.


On January 28, 2021, Hall of Fame Resort & Entertainment Company, a Delaware corporation (the “Company”), entered into a binding term sheet (the “Term Sheet”) with IRG, LLC, a Delaware limited liability company that is controlled by the Company’s director Stuart Lichter (“Investor”), pursuant to which the Company agreed to issue and sell to Investor for a purchase price of $15 million (“Purchase Price”) in a private placement (the “Private Placement”) (i) shares of a new series of preferred stock of the Company (the “Private Placement Preferred Stock”), which are convertible into shares of the Company’s common stock, par value $0.0001 (the “Common Stock”), having an aggregate liquidation preference of $15 million, and (ii) a number of warrants, exercisable for shares of Common Stock at an exercise price of $6.90 per share (the “Private Placement Warrants”), constituting 50% warrant coverage. The number of warrants to be issued will equal half of the liquidation preference of the Private Placement Preferred Stock divided by the closing price of the Common Stock on a specified date (the “Common Stock Value”). The Private Placement Preferred Stock and Private Placement Warrants are subject to the conversion terms and exercise terms, respectively, described in Item 3.02 hereof. The Private Placement is expected to close by February 26, 2021."