Company: BSFC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021887
Chunk: 72

Company: Blue Star Foods Corp.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 72
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 $100,000, (iv) sell, lease or otherwise dispose of any significant
portion of our assets outside the ordinary course of business, and (v) enter into any transaction or arrangement structured in accordance
with, based upon, or related or pursuant to, in whole or in part, either Section 3(a)(9) or Section 3(a)(10) of the Securities Act.

In
conjunction with the August Private Placement Offering, the Company entered into a registration rights agreement with each of Quick Capital
and Jefferson. The Company agreed to file a registration statement with the Securities and Exchange Commission to register the re-sale
of the maximum number of shares of Common Stock covered in the August Private Placement Offering within sixty (60) calendar days from
the date of execution.

During
the nine months ended September 30, 2025, the Company made aggregate principal payments on the Private Placement Notes of $257,639 of
which $91,441 was paid through the issuance of an aggregate of 2,876,074 shares of common stock. The outstanding balance on the loan
was $99,874 as of September 30, 2025.

Labrys
Fund Note

On
August 25, 2025, the Company issued to Labrys Fund II, L.P. (“Labrys Fund”) a convertible promissory note in the principal
amount of $169,500 with an original issue discount of $25,425 (the “Labrys Note”). The Labrys Note has an interest rate of
13% with a one-time interest payment of $22,035 paid upon issuance and a maturity date of August 25, 2026. The proceeds from the sale
of the Labrys Note are for general working capital. Upon the occurrence of an event of default as described in the Labrys Note, the note
will become immediately due and payable at a default interest rate of 22% of the then outstanding principal amount of the note. Additionally,
Labrys Funds will have the right to convert all or any part of the outstanding and unpaid amount of the Labrys Note into shares of the
Company’s common stock at a conversion price of 75% of the market price as described in the note. The Company will reserve a sufficient
number of shares to provide for the issuance of shares upon the full conversion of the Labrys Note. For the nine months ended September
30, 2025, the Company made no principal and interest payments on the loan. The outstanding balance