RB Capital and Cyberlux structured the funding as a premium-to-market fixed-price convertible note that can only convert to common stock at $0.25 per share, a significant premium to the stock's current price of ~$0.046 per share. This debt is obligatorily convertible on or before the 24-month maturity date in October 2023. Additionally, RB Capital is prepared to provide up to an additional $10,500,000 in further funding on the same terms as the share price continues to reflect Cyberlux Corporation's growth.
Cyberlux Corporation will utilize the new growth capital to accelerate the Company's Operation Alpha plan to aggressively drive its business unit growth. The Company's Operation Alpha plan has three top priorities: (1) drive growth through aggressive business development, acquisitions and joint ventures; (2) address new target markets with Cyberlux products and technology capabilities; and (3) accelerate business growth with new products, new projects and new strategic IP development.
"Cyberlux has transformed our mission, and as an advanced technology growth platform company, we are only limited by how rapidly and effectively we can build the revenue and profit of our four business units, and perhaps expand into new business units over time. The capital provided in this growth-centric financing with RB Capital will fuel our Operation Alpha plan and greatly accelerate our acquisition, joint venture, and strategic IP growth strategy. Working with the RB Capital partners Brett Rosen and Deborah Braun, we have been able to form a great partnership centered around the Company's vision and its execution over the last six months," stated Mark Schmidt, president and CEO of Cyberlux Corporation. "We will continue to structure new acquisitions based on equity growth and milestone incentives, but now having capital to accelerate the closing of deals is critically important. With this added financial strength, we are truly positioned to achieve our aggressive plans and timelines."
https://www.accesswire.com/669643/cyberlux-corporation-secures-4500000-in-new-financing-to-accelerate-the-companys-operation-alpha-growth-plans