Company: BLNE
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001641172-25-011724
Chunk: 36

Company: Beeline Holdings, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 1
Chunk 36
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 purposes, the shares were valued
at $11.60
per share based upon the closing price on the date of grant
for stock-based compensation of $2,046.

ELOC
Agreement

On
December 31, 2024, the Company entered into entered into a Common Stock Purchase Agreement and related Registration Rights Agreement
(collectively, the “ELOC Agreement”) with an institutional investor (the “Purchaser”) pursuant to which the Company
agreed to sell, and the Purchaser agreed to purchase, up to $35 million of the Company’s common stock, subject to a sale limit
of 19.99% of the outstanding shares of the Company’s common stock.

On
March 7, 2025, the
Company entered into an Amended ELOC Agreement to reduce the maximum amount under the ELOC Agreement from $35 million to $10
million. During the three months ended March 31, 2025, the Company sold and issued a total of 1,090,622
shares of common stock for an aggregate purchase price of $2.1
million to the Purchaser. The Company recorded offering costs related to the ELOC of $0.1
million as of March 31, 2025.

    23

Beeline
Holdings, Inc.

Notes
to Consolidated Financial Statements

March
31, 2025

(Unaudited)

Preferred
Stock

The
Company has 100 million shares of preferred stock authorized.

Issuance
of Series B Preferred Stock

On
October 19, 2021, the Company entered into a securities purchase agreement (“Purchase Agreement”) with an accredited investor
for its purchase of 2.5 million shares (“Preferred Shares”) of Series B Convertible Preferred Stock (“Series B Preferred
Stock”) at a purchase price of $1.00 per Preferred Share, which Preferred Shares are convertible into shares of the Company’s
common stock pursuant to the terms and conditions set forth in a Certificate of Designation Establishing Series B Preferred Stock of
the Company with an initial conversion price of $620.00 per share. 4,250 shares of common stock were reserved for issuance in the event
of conversion of the Preferred Shares. The holder of Series B has voting rights on an as-converted basis.

The
Series B Preferred Stock accrues dividends at a rate of 6%
per annum, payable annually on the last day of December of each year. Dividends shall