Plans to Use Proceeds to Launch Line of Men’s Health Supplements
NEW YORK–(BUSINESS WIRE)–Sport Endurance, Inc. (SENZ) (the “Company”) announced it has issued Senior Secured Convertible Notes (the “Notes”) to institutional lenders (the “Lenders”) for an aggregate principal amount of $440,000 (including a 3.5% original issue discount) in accordance with the terms of a Securities Purchase Agreement (the “Agreement”).
“This is an important step toward executing our direct to consumer supplement marketing strategy, and I look forward to communicating more milestones to our shareholders,” said Sport Endurance CEO, David Lelong.
The Notes bear interest at 10% per annum, can be pre-paid at a premium, and mature six months from issuance. At the option of the Lenders, the principal and accrued interest under the Notes are convertible into Shares at $0.50 per share.
The Notes are secured by a first lien on all assets of the Company. The Lenders did not receive any registration rights which means that all Shares including those issuable upon conversion of the Notes must be held for at least six months.
The Lenders also received 200,000 shares of restricted Common Stock of the Company (the “Shares”).
About Sport Endurance, Inc.
Sport Endurance, Inc. plans to market and distribute quality dietary supplement products throughout the United States. We believe that improved health contributes to and promotes a higher quality of life. It’s our goal to improve health by providing quality and effective nutritional supplements for an aging population. Our primary focus is on three areas of health that most directly impact the lives of most adults: Total Wellness, Energy, and Sleep.