Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 1139

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 5
Chunk 1139
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 Common Stock at an initial exercise price of $0.345 per share. The warrant has full ratchet price protection which has resulted in the number of shares exercisable under the warrant increasing to 734,694 and the exercise price being amended to $0.084 per share.   No repayments have been made on the Quick Capital Note 2 which provides for a no notice default, whereupon the note accrued penalty interest at a rate of 24% per annum on the total balance outstanding. The note holder did not apply the penalty interest to the balance outstanding. On November 28, 2024, the maturity date of the note, a penalty charge of 150% of the balance outstanding of $30,856 was recorded by the Company as additional principal outstanding.   On December 6, 2024, Quick Capital converted an aggregate of $29,400, including a penalty of $1,000 into 350,000 shares of Common Stock at a conversion price of $0.084 per share, realizing a loss on conversion of $280.   The balance of the Quick Capital note plus accrued interest at December 31, 2024 was $64,171. 

2023
and 2024 Convertible Notes

Between
February 13, 2023 and November 27, 2023, the Company entered into Securities Purchase Agreements with 30 accredited investors to purchase
convertible notes (the “2023 Convertible Notes”). Between February 6, 2024 and October 23, 2024, the Company entered into
Securities Purchase Agreements with 9 accredited investors to purchase convertible notes (the “2024 Convertible Notes”).
The Company received an aggregate of $2,026,666 from the 2023 Convertible Notes and $575,002 from the 2024 Convertible Notes,
in gross proceeds in private placements through the issuance of:

●the 2023 Convertible Notes and
the 2024 Convertible Notes; and

●five-year warrants to purchase
an aggregate 5,696,586 shares of Common Stock associated with the 2023 Convertible Notes (the “2023 Warrants”)
and an aggregate of 579,711 shares of Common Stock associated with the 2024 Convertible Notes (the “2024 Warrants”),
at an exercise price of $0.345 per share (as adjusted for stock splits, stock combinations, dilutive