Company: TPET
Filing Date: 2025-01-30
Form Type: 10-K/A
Source: 0001493152-25-004268
Chunk: 45

Company: Trio Petroleum Corp.
Filing Date: 2025-01-30
Form: 10-K/A
Chunk 45
---
 88,888, respectively, which it converted into shares at 103% for conversion amounts of $ 91,556, $ 51,500and $ 91,556, respectively. Conversion shares were issued numbering 30,520, 17,167and 38,150, respectively, at fair values per share of $ 3.38, $ 3.66and $ 2.58, respectively, for total amounts of $ 103,091, $ 62,830and $ 98,422, respectively. Losses in the amounts of $ 14,203, $ 12,830and $ 9,534, respectively, were recognized for the difference between the value of the shares issued and the principal payment amounts. An additional 2,317shares were issued on October 11, 2024 at a fair value of $ 3.38for a total amount of $ 7,838; the share issuance was made to satisfy a make-whole-share provision which the debtor is entitled to when the effective price of the shares becomes less than the floor price.

As of October 31, 2024 and 2023, the balance of the June 2024 Notes was $ 322,419and $ 0, respectively, with noncash interest expense recognized for the amortization of debt discounts of $ 131,696and $ 0for the years ended October 31, 2024 and 2023, respectively.

August 1, 2024 Financing

On August 1, 2024, the Company entered into a Securities Purchase Agreement (the “August 1 stSPA”) with an investor, pursuant to which the Company raised gross proceeds of $ 134,000and received net proceeds of $ 110,625; in connection with the financing, the Company issued an unsecured promissory note to the investor in the principal amount of $ 152,000and an original issue discount of $ 18,000or approximately 11.8%. Interest accrues on the note at a rate of 12% per annum and the maturity date of the note is May 30, 2025. The note provides for five payments of principal and accrued interest which are payable: (i) $ 85,120on January 30, 2025; (ii) $ 21,280on February 28, 2025; (iii) $ 21,280on March 30, 2025;