Company: PTPI
Filing Date: 2025-02-13
Form Type: S-1/A
Source: 0001410578-25-000122
Chunk: 281

Company: Petros Pharmaceuticals, Inc.
Filing Date: 2025-02-13
Form: S-1/A
Chunk 281
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 As of September 30, 2024, the Company has notified the investors of its intention to redeem the upcoming installment due in cash and recorded a liability of $ 1,144,582representing the cash payable to investors which includes $ 965,006of the stated value of the Series A Preferred Shares, $ 104,693of accrued dividends payable, and $ 74,883for the cash premium which was recognized as a deemed dividend. During the three months ended September 30, 2024, the Company experienced an Equity Conditions Failure in which the Company’s average stock price during the Installment Conversion Price Measuring Period (as defined in the Certificate of Designations) corresponding to the September 1, 2024, and October 1, 2024, installments (the “Affected Installments”) was below the Floor Price (as defined in the Certificate of Designations) (the “Floor Price Condition”). As a result of the Floor Price Condition, the Company is required to redeem the Affected Installments as well as any previously deferred installment amounts at a 125% premium. Accordingly, the Company recorded a liability for penalty premiums totaling $ 598,336as of September 30, 2024, related to the Floor Price Condition, which is included in Accrued Series A Convertible Preferred payments payable on the accompanying condensed consolidated balance sheet, and a corresponding reduction in additional paid-in capital for the three and nine months ended September 30, 2024, which was recognized as a deemed dividend. During the three months ended September 30, 2024, the Company redeemed a total of 3,000Series A Preferred Shares in cash for $ 2,389,478and issued 580,348shares of Common Stock pursuant to the terms of the Certificate of Designations, equal to $ 232,143. During the three months ended September 30, 2024, the Company recognized a total of $ 453,359of preferred dividends consisting of $ 236,821of preferred dividends at the stated dividend rate, and $ 216,538of cash premiums recognized as deemed dividends. During the nine months ended September 30, 2024, the Company redeemed a total of 8,983Series A Preferred Shares for cash equal to $ 5,089,417and issued 6,563,523shares of Common Stock, elected pursuant to the terms of the Certificate of Designations, equal to $ 6,586,033. During the nine months