SPI Energy Issues $2.11 Million 10% Convertible Promissory Note with $20 per Share Conversion Price

Rhea-AI Summary

SPI Energy Co., Ltd. (NASDAQ: SPI) announced the issuance of a $2.11 million 10% convertible promissory note to Streeterville Capital, LLC on April 8, 2022. The note, approved by the board, carries a 10% annual interest and matures on April 7, 2023. It can be converted into SPI ordinary shares at $20.00 per share. This private placement complies with Regulation D under the Securities Act. SPI operates in renewable energy, focusing on solar and EV solutions, with strategic investments in battery storage and charging stations.

Positive

• Issuance of a $2.11 million convertible promissory note may enhance liquidity for business operations.
• The 10% interest rate could attract investors looking for fixed returns.
• Conversion price set at $20.00 may indicate confidence in future stock performance.

Negative

• The issuance may lead to shareholder dilution if converted into ordinary shares.
• Maturity date set for April 2023 could represent a near-term financial obligation.

SANTA CLARA, CA / ACCESSWIRE / April 11, 2022 / SPI Energy Co., Ltd., (NASDAQ:SPI) (the "Company"), a global renewable energy company and provider of solar storage and electric vehicle (EV) solutions for business, residential, government, logistics and utility customers and investors, today announced that on April 8, 2022, it issued a $2.11 million 10% convertible promissory note to Streeterville Capital, LLC, a Utah limited liability company.

The convertible promissory note, which was approved by SPI's board of directors, bears interest at the rate of 10% per annum and has a maturity date of April 7, 2023. All or any portion of the note is convertible into ordinary shares of SPI at a conversion price of $20.00 per share. The convertible promissory note was issued in a private placement in reliance on Regulation D promulgated under the Securities Act of 1933, as amended.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sales of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Copies of the securities purchase agreement and the convertible promissory note relating to this financing can be obtained at the SEC's website at www.sec.gov.

About SPI Energy

SPI Energy Co., Ltd. (NASDAQ: SPI) is a global renewable energy company and provider of solar storage and electric vehicle (EV) solutions that was founded in 2006 in Roseville, California and is headquartered in Santa Clara, California.

The company has three core divisions: SolarJuice residential solar, the commercial & utility solar division comprised of SPI Solar and Orange Power, and the EdisonFuture/Phoenix Motor EV division. SolarJuice is the leader in renewable energy system solutions for residential and small commercial markets and has extensive operations in the Asia Pacific and North America markets. The commercial & utility solar division provides a full spectrum of EPC services to third party project developers, and develops, owns and operates solar projects that sell electricity to the grid in multiple regions, including the U.S., U.K., and Europe. Phoenix Motor is a leader in medium-duty commercial electric vehicles, and is developing EV charger solutions, electric pickup trucks, electric forklifts, and other EV products.

SPI maintains global operations in North America, Australia, Asia and Europe and is also targeting strategic investment opportunities in fast growing green industries such as battery storage, charging stations, and other EVs which leverage the Company's expertise and substantial solar cash flow.

For more information on SPI Energy and its subsidiaries, the Company recommends that stockholders, investors and any other interested parties read the Company's public filings and press releases available under the Investor Relations section at www.SPIgroups.com or available at www.sec.gov.

Forward-Looking Statements

This press release contains forward-looking statements, as that term is defined in the Private Litigation Reform Act of 1995, that involve significant risks and uncertainties. Forward-looking statements can be identified through the use of words such as "may," "might," "will," "intend," "should," "could," "can," "would," "continue," "expect," "believe," "anticipate," "estimate," "predict," "outlook," "potential," "plan," "seek," and similar expressions and variations or the negatives of these terms or other comparable terminology. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect the Company's current expectations and speak only as of the date of this release. Actual results may differ materially from the Company's current expectations depending upon a number of factors. These factors include, among others, the coronavirus (COVID-19) and the effects of the outbreak and actions taken in connection therewith, adverse changes in general economic and market conditions, competitive factors including but not limited to pricing pressures and new product introductions, uncertainty of customer acceptance of new product offerings and market changes, risks associated with managing the growth of the business, and those other risks and uncertainties that are described in the "Risk Factors" section of the Company's annual report filed on Form 10-K filed with the Securities and Exchange Commission. Except as required by law, the Company does not undertake any responsibility to revise or update any forward-looking statements.

Contact:

SPI Energy Co., Ltd.
IR Department
Email: ir@spigroups.com

Dave Gentry
RedChip Companies, Inc.
Phone:(407) 491-4498
SPI@redchip.com

SOURCE: SPI Energy Co., Ltd.

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FAQ

What is the recent development regarding SPI Energy on April 8, 2022?

On April 8, 2022, SPI Energy issued a $2.11 million convertible promissory note to Streeterville Capital.

What are the terms of the convertible promissory note issued by SPI?

The note has a 10% annual interest rate, matures on April 7, 2023, and can be converted at $20.00 per share.

How might the issuance of the promissory note impact SPI shareholders?

The conversion of the note into shares could dilute existing shareholders' equity.

What is SPI Energy's business focus?

SPI Energy focuses on renewable energy, providing solar and electric vehicle solutions.