Data443 Risk Mitigation Inc (ATDS)

[Bubae]

Much was renegotiated last year and coming due. Another note that becomes eligible to convert Sept. 30th. That is only two notes now that come to $750K and with the conversion terms will likely sap well over a million in cash from shareholders who buy in. That isn't new money to help this company,that original value is capital eaten by operations.

https://sec.report/Document/0001493152-20-018919/

ITEM 1.01 ENTRY INTO A MATERIAL DEFINITIVE AGREEMENT.

Effective 30 September 2020, Data443 Risk Mitigation, Inc. (the “Company”) entered into an agreement with an existing lender to amend and revise the terms of an existing Note and Warrant, each issued on 18 March 2020.

The Note, issued in the original principal amount of $125,000 and having a variable conversion feature with a 25% discount to the market price, was exchanged for a new promissory note (the “New Note”), which provides as follows:

(1) The principal balance of the New Note shall be $325,000, which includes all accrued and unpaid interest;

(2) No further interest shall accrue on the New Note so long as there is no event of default;

(3) The maximum amount which can be converted into shares of common stock of the Company is $325,000;

(4) Conversions into common stock under the New Note shall be effected at the lowest closing stock price during the five (5) days preceding any conversion, with -0- discount and a conversion price not below $0.007;

(5) No prepayment premiums or penalties; and

(6) Maturity date for the New Note shall be 30 September 2021.