Company: SUNE
Filing Date: 2025-03-14
Form Type: 8-K
Source: 0001213900-25-023805
Chunk: 3

Company: SUNation Energy, Inc.
Filing Date: 2025-03-14
Form: 8-K
Item: Item 1.02
Chunk 3
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 closing(s) of such offering(s), and if the Company consummates one or more equity offerings prior to the Maturity
Date in which it derives aggregate gross proceeds of at least $4.4 million, the Company will be required to repay the entire unpaid principal
amount of all loans due to MBB, simultaneous with the closing(s) of such offering(s).

As of
February 28, 2025, the aggregate MBB loan balance was $1,000,000, which was repaid in full from a portion of the proceeds of the Equity
Offering following the consummation thereof. As a result of this complete repayment, the MBB Note has been terminated and no further principle,
interest or accrual thereunder remain following the repayment and related termination of the MBB loan agreement(s).

The
repayment and termination of the above-described secured loan agreements eliminates all monthly payment obligations, which in the aggregate
is expected to result in a substantial monthly operating cash savings, and also removes certain material restrictive covenants which were
contained in the respective loan agreements. This is anticipated to give the Company added flexibility in considering any potential acquisitions,
structuring future financing options related thereto and it will result in freeing up cashflow for operational activities in the ordinary
course of our business.

Forward-Looking Statements