Company: ARTL
Filing Date: 2025-08-04
Form Type: 8-K
Source: 0001640334-25-001334
Chunk: 1

Company: ARTELO BIOSCIENCES, INC.
Filing Date: 2025-08-04
Form: 8-K
Item: Item 1.01
Chunk 1
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 prospectus contained therein is not available for, the resale of the shares of Common Stock underlying the Warrants to the holder. A holder of a Warrant may not exercise any such Warrant to the extent that such exercise would result in the number of shares of Common Stock beneficially owned by such holder and its affiliates exceeding 4.99% or 9.99% (at the election of the holder) of the total number of shares of Common Stock outstanding immediately after giving effect to the exercise, which percentage may be increased or decreased at the holder’s election not to exceed 9.99% (the “ Beneficial Ownership Limitation”).

Pursuant to the Purchase Agreement, the Company has agreed to file a registration statement with the U. S. Securities and Exchange Commission (the “ SEC”) covering the resale of the Shares and Warrant Shares within fifteen (15) calendar days following the closing of the Offering (subject to certain exceptions) and to use commercially reasonable efforts to cause such registration statement to be declared effective as promptly as practicable.

The gross proceeds from the Offering, before deducting offering expenses payable by the Company, are expected to be approximately $9.475 million (or up to approximately $64.058 million in gross proceeds if the Warrants are fully exercised for cash). The net proceeds from the sale of the Shares will be used to purchase the digital currency known as SOL. Net proceeds from the exercise of the Warrants will be used for general corporate and working capital purposes in an amount required to cure any existing trading market deficiency and/or to maintain an operating budget of twelve months of cash, with any remaining proceeds available for investment in SOL.

The Purchase Agreement contains customary representations, warranties and agreements by the Company, indemnification obligations of the Company and the Purchasers, including for liabilities under the Securities Act of 1933, as amended (the “ Securities Act”), and other obligations of the parties. The representations, warranties and covenants contained in the Purchase Agreement were made only for purposes of such Purchase Agreement and are made as of specific dates; are solely for the benefit of the parties (except as specifically set forth therein); may be subject to qualifications and limitations agreed upon by the parties in connection with negotiating the terms of the Purchase Agreement, instead of establishing matters as facts; and may be subject to standards of materiality and knowledge applicable to the contracting parties that differ from those applicable to the investors generally. Investors should not rely on the representations, warranties and covenants or any description thereof as characterizations of