Summary by Moomoo AI
On July 24, 2024, Panbela Therapeutics, Inc. and its subsidiary, Cancer Prevention Pharmaceuticals, Inc., entered into a Loan Agreement with USWM, LLC, securing a term loan of $1.5 million. The loan, evidenced by a Term Promissory Note, is due by the earlier of a Qualifying Financing, a Qualifying Transaction, or December 31, 2024. The loan bears interest and a premium, with a maximum Qualifying Transaction Payment capped at $1 million. The proceeds are designated for specific uses, including payment to a contract research organization and other working capital needs. The Loan Agreement includes standard covenants and events of default, and the company has pledged to complete a Qualifying Financing by the end of 2024 and a Qualifying Transaction by July 24, 2025. To secure the loan, Panbela Therapeutics and its subsidiary granted a first priority security interest in their rights in an Asset Purchase Agreement to the lender. The full texts of the Loan Agreement, Term Note, and Security Agreement were filed with the SEC and are incorporated by reference into this report.