On August 28, 2024, Canoo Inc. entered into a First Supplemental Agreement with investment firm Yorkville, securing an additional $25.16 million in funding. This agreement amends the Prepaid Advance Agreement (PPA) initially established on July 19, 2024, which allowed Canoo to request advances up to $100 million. The new funds will be used to repay $15 million in principal and $158,219.18 in accrued interest from a previous agreement dated June 13, 2024. After accounting for fees and discounts, Canoo's net proceeds from this transaction will be $9.4 million. The agreement sets a purchase price for shares at the lower of $1.7554 or 95% of the stock's volume-weighted average price on the Nasdaq, with a floor of $1.00 per share. Additionally, Canoo is required to hold an annual stockholders' meeting by November...Show More

On August 28, 2024, Canoo Inc. entered into a First Supplemental Agreement with investment firm Yorkville, securing an additional $25.16 million in funding. This agreement amends the Prepaid Advance Agreement (PPA) initially established on July 19, 2024, which allowed Canoo to request advances up to $100 million. The new funds will be used to repay $15 million in principal and $158,219.18 in accrued interest from a previous agreement dated June 13, 2024. After accounting for fees and discounts, Canoo's net proceeds from this transaction will be $9.4 million. The agreement sets a purchase price for shares at the lower of $1.7554 or 95% of the stock's volume-weighted average price on the Nasdaq, with a floor of $1.00 per share. Additionally, Canoo is required to hold an annual stockholders' meeting by November 13, 2024, to seek approval for the issuance of shares under the PPA and to amend the PPA and the 2022 Pre-Paid Advance Agreement to establish a maximum floor price. Canoo will file its preliminary proxy statement by September 11, 2024. Concurrent with the funding, Canoo issued Yorkville a warrant to purchase approximately 2.8 million shares at $1.7554 per share, exercisable from February 28, 2025, to August 28, 2029. The company also attached an opinion from Kirkland & Ellis LLP regarding the validity of the shares to be offered.