22nd Century Group Resets Conversion Price in Senior Secured Credit Facility

22nd Century Group, Inc. has announced a reset of the Conversion Price in its Senior Secured Credit Facility. The decision, approved by the Board of Directors on January 13, 2025, brings the Conversion Price down to $6.04 per share.

This action follows a Letter Agreement entered into on October 9, 2024, which modified the terms of the Securities Purchase Agreement dated March 3, 2023, and the debentures with JGB Partners, LP, JGB Capital, LP, and JGB Capital Offshore Ltd., collectively known as the Holders. The modification allowed for the reset of the Conversion Price, defined in the Debentures, based on the average of the daily VWAPs for the five consecutive Nasdaq trading days preceding the reset date.

The stockholders’ approval was obtained at the special meeting of stockholders held on December 6, 2024. The reset of the Conversion Price to $6.04 per share represents a significant development for 22nd Century Group, Inc., impacting its financial position and future prospects.

These recent events underline the company’s commitment to strategic financial management and its efforts to optimize shareholder value.

This has been a brief summary of the recent developments at 22nd Century Group, Inc. as disclosed in a recent SEC filing.

Please note that all information mentioned above is derived from the 8-K SEC filing and should be considered for informational purposes only.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read 22nd Century Group’s 8K filing here.

22nd Century Group Company Profile

22nd Century Group, Inc, a tobacco products company, engages in the sale and distribution of its own proprietary new reduced nicotine tobacco products. The company offers reduced nicotine content tobacco plants and very low nicotine combustible cigarette products. It also provides contract manufacturing services for conventional combustible tobacco products for third-party brands.