Company: SUNE
Filing Date: 2025-03-14
Form Type: 8-K
Source: 0001213900-25-023805
Chunk: 1

Company: SUNation Energy, Inc.
Filing Date: 2025-03-14
Form: 8-K
Item: Item 1.02
Chunk 1
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 Conduit Capital U. S. Holdings LLC and MBB Energy, LLC (each further described below). The Company also entered into a Joinder and
Amendment to Subordination Agreement (the “ Joinder Agreement”) among Decathlon, Hercules Capital, Inc., Conduit and MBB. The
Company was making monthly principal and interest payments in the aggregate amount of approximately $49,000 pursuant to the Term Loan
Agreement.

As of March 3, 2025, the loan
and accrued interest balance was $1,230,555; however, the parties to the Term Loan Agreement recently agreed to a reduced aggregate repayment
amount of $1,138,263 if voluntarily repaid early in full. Following the consummation of the Equity Financing, the Company used a portion
of the proceeds therefrom to voluntarily repay in full all of the accrued principal and interest due to Hercules in the (reduced) aggregate
noted above. As a result of this complete repayment, the Term Loan Agreement has been terminated (together with other agreements and instruments
related thereto), and no further monthly or other payments or remuneration of any kind shall be paid or be payable following the termination
of this Term Loan Agreement, and no early termination penalties or prepayment premium were incurred by the Company in connection with
the termination of this Loan Agreement.

Conduit Capital Bridge
Loan Repayment and Termination

On July 22, 2024, the Company
obtained bridge loan financing for working capital purposes from Conduit Capital U. S. Holdings LLC (“ Conduit”), an unaffiliated
lender (the “ Original Conduit Note”) in the principal sum of $500,000 to the Company on an original issue discount basis of
20% and accordingly, Conduit advanced $400,000 to the Company (the “ Initial Conduit Loan”), with a maturity date of July 21,
2025 (the “ Maturity Date”). The Original Conduit Note allowed for additional advances to the Company for working capital on
identical terms, conditions and interest rate as the Initial Conduit Loan up to an aggregate principal sum of $500,000. On September 9,
2024, the Company and Conduit entered into an Amended and Restated Convertible Secured Note (the “ First Amended Conduit Note”)
which provided for an additional principal advance of $120,000 (the “ Second Conduit Advance”). On September 23, 2024, the