Company: GRPS
Filing Date: 2025-07-17
Form Type: 10-Q
Source: 0001683168-25-005208
Chunk: 13

Company: Trans American Aquaculture, Inc
Filing Date: 2025-07-17
Form: 10-Q
Item: Part I, Item 1
Chunk 13
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In February
2024, the Company signed an unsecured promissory note with a lender for $111,600, bearing one-time interest at the rate of 13%, and maturing
on four dates beginning on August 2024 and ending on November 2024. The proceeds of this note were issued with an original issue discount
of $18,600, yielding net proceeds of $93,000. Upon full maturity, the Company will have paid a total of $126,108 of principal and interest
on this note.

In May 2024, the Company signed a Secured Promissory
Note with a lender for $350,000 bearing fixed interest at the rate of $12,500 per month with maturity date December 2024. The Secured
Promissory Note requires monthly interest payments only commencing in June 2024. Principal amount along any accrued but unpaid interest
should be paid at maturity date. The note is secured by property owned by the Company and trustee by Travis L. Bence or John R. Bailey.

On December 13, 2024, due to a note holder recording
a deed in lieu foreclosure, on December 2nd, 2024, TAA filed for Chapter 11 bankruptcy protection under the United States Bankruptcy Code,
in the United States Bankruptcy Court for the Southern District of Texas (Case # 24-10217). TAA voluntarily filed for Chapter 11 Bankruptcy
to protect the assets of the company (shrimp broodstock and key property, plant, and equipment) due to threats being made by the former
farm note holder (Kings Aqua Farm LLC) in which TAA operated on. On December 2, 2024, Kings Aqua Farm LLC filed a Deed in Lieu (“DIL”)
of Foreclosure due to non-payment by Trans American Aquaculture. The land was conveyed back to Kings Aqua Farm because of the DIL filing
and as such the total debt was extinguished. Over the next two weeks, various threats were made by Kings Aqua Farm on the assets of TAA,
which are paramount to the survival and future of the company. To protect those key assets and any future business, TAA elected to file
a voluntary Chapter 11 Bankruptcy.

The bankruptcy plan is currently being finalized
between TAA management, its board of directors, and legal counsel. The plan confirmation hearing is scheduled for August 18, 2025, at
which