Veritone Inc (VERI)

[GBR]

Just an observation.

Back in November of 2021 Veritone announced the convertible at 201.25M, interest rate at 1.75%, and conversion price of 36.76.

201.25M divided by 36.76 is about 5.474 M shares. So the convertible note holders if converted, would have held about 5.5M shares.

Of course, then Veritone stock collapsed, as well as the convertible note holders' investment.

For the new 77.5M debt facility, If you look at the list of lenders as stated in the sec filing, the lenders appear to be involved with convertible bond investing. Also saw on a Google search Highbridge Capital held some of the convertible notes. So, it looks to me like the lenders may be the same as involved in the Notes.

If/when the new debt facility goes through, Veritone will have issued these lenders warrants to purchase 3,008,540 shares of stock at $2.576

There will be 91M left of the convertible notes. Those notes could be exercised into 2.475M shares if the stock goes above 36.76.

So adding 3,008540 plus 2,475,000 = 5,483,540 shares, or roughly 5.5M shares, the same number of shares as the original convertible notes.

https://www.sec.gov/Archives/edgar/data/1615165/000095017023063678/veri-ex10_3.htm