By Chris Wack
PARTS iD shares were up 10% to 46 cents after the company said it entered into two new funding agreements that will deliver $7 million in immediate proceeds.
The digital commerce platform said the first agreement is a $3.75 million investment by Lind Global Partners II.
Two company insiders, including Chief Executive Lev Peker, and one external investor co-invested an additional $3.25 million alongside Lind.
The company said it intends to use the capital to repay and retire outstanding debt owed to JGB Capital as well as for general working capital needs.
The new capital obtained from Lind is in the form of a senior-secured promissory note with a 12-month maturity, 0% annual interest rate and is convertible into shares of the company’s Class A stock at the option of Lind.
Lind will also receive warrants to buy 12.8 million shares exercisable at 50 cents a share.
The new investment by the investors is in the form of junior secured promissory notes in the amount of $3.25 million, which are convertible into shares of PARTS iD stock.
Write to Chris Wack at [email protected]
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