Company: SNBH
Filing Date: 2025-04-16
Form Type: 10-K
Source: 0001731122-25-000581
Chunk: 146

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-04-16
Form: 10-K
Item: Item 1A
Chunk 146
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 an accredited investor (the “April 2021 Investor”) providing
for the sale by the Company to the April 2021 Investor of a 10% Senior Secured Convertible Promissory Note in the principal amount
of $315,789 (the “April 2021 Note”, and the “Financing”). The principal amount of the April 2021 Note includes
an Original Issue Discount of $15,789, resulting in $300,000 in total proceeds received by the Company in the Financing. The April
2021 Note is convertible at the option of the April 2021 Investor into shares of common stock of the Company at $0.40 per share.
In addition to the April 2021 Note, the April 2021 Investor also received 250,000 shares of common stock of the Company (the
“Commitment Shares”), and a common share purchase warrant (the “April 2021 Warrant”, and together with the April
2021 Note and the Commitment Shares, the “Securities”) to acquire 500,000 shares of common stock of the Company.
The April 2021 Warrant is exercisable for five years at an exercise price of $0.60. The lender agreed to not exercise any of the warrant
and conversion feature from their inception through March 31, 2024. The lender has retained its right to exercise the warrants and conversion
feature from April 1, 2024 through their expiration. During the year the company paid monthly interest totaling $21,052. Principal balance
as of December 31, 2022 and 2021 remains at $315,789. The Original Issue discount was being amortized over the term of the loan of 18
months and was fully during the year ended December 31, 2022. On August 19, 2022, the Company and the April 2021 Investor entered into
an extension agreement pursuant to which the parties agreed to extend the maturity date of the April 2021 Note until January 2, 2023.
Accrued interest for this note as of December 31, 2024 and 2023 were $141,779 including default interest of $94,789 and $102,305 including
default interest of $25,125, respectively.

On November 18, 2021 (the “Issuance Date”),
the Company entered into a Securities Purchase Agreement with an accredited investor (the “November 202