FRTT•Fort Technology entered agreements with two institutional investors for up to $20 million in unsecured convertible promissory notes. The notes carry 8% annual interest, mature 28 months after issuance and have a 10% original issue discount.
An initial $2.2 million tranche precedes optional quarterly tranches of up to $2.2 million each, with a final tranche of up to $2.4 million. Conversion is based on the lower of a fixed price or 88% of the lowest daily VWAP over the preceding 20 trading days, subject to a floor.
Fort Technology said proceeds will support working capital and operations, including subsidiary Logia USA's fuel integrity solutions for data centers and other mission-critical facilities.
