Lucid Diagnostics Announces Agreement for Sale of Senior Secured Convertible Notes

Lucid Diagnostics Inc. (NASDAQ:LUCD) disclosed in a recent 8-K filing with the Securities and Exchange Commission that it has entered into a Securities Purchase Agreement (SPA) with accredited investors for the sale of Senior Secured Convertible Notes. The agreement, referred to as the “2024 SPA,” involves certain accredited investors who have agreed to purchase a total of $21.75 million in 2024 Convertible Notes from the company.

The funds raised from the sale of the 2024 Convertible Notes are intended to be used for redeeming the Company’s Senior Convertible Note issued in March 2023. This redemption process is subject to specific terms outlined in the 2023 Convertible Note, with a redemption notice issued by Lucid on November 8, 2024.

While the proceeds from the 2024 Convertible Notes are anticipated to be adequate to cover the Optional Redemption Price specified in the 2023 Convertible Note, there is no definitive assurance provided on the timeframe for completing the issuance and redemption. The company expects to finalize these transactions on or before the end of the Optional Redemption Notice Period.

The offering and sale of the 2024 Convertible Notes, including the common stock that may be issued upon conversion of these notes, are exempt from registration requirements under the Securities Act of 1933. This exemption is granted under Section 4(a)(2) of the Securities Act, owing to various factors such as the private nature of the transaction, the status of investors as accredited, and the measures taken by Lucid to restrict the transfer of securities.

Additionally, the filing includes forward-looking statements cautioning investors about the inherent uncertainties and risks associated with such statements. Lucid Diagnostics encourages investors to exercise caution and not solely rely on these forward-looking statements, as actual results may differ due to various factors, some of which are elaborated on in the company’s previous reports submitted to the Securities and Exchange Commission.

The company indicated that the information provided in this filing is current as of the date of the report and commits to updating material information as required by law.

As of the date of the filing, Lucid Diagnostics Inc. represented this 8-K report as duly authorized.

This article is a summary of the recent 8-K SEC Filing by Lucid Diagnostics Inc. For further details, readers are encouraged to refer to the original document filed with the SEC.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Lucid Diagnostics’s 8K filing here.

About Lucid Diagnostics

Lucid Diagnostics Inc operates as a commercial-stage medical diagnostics technology company in the United States. The company focuses on patients with gastroesophageal reflux disease (GERD) who are at risk of developing esophageal precancer and cancer, primarily highly lethal esophageal adenocarcinoma.