Company: LNAI
Filing Date: 2025-07-09
Form Type: 8-K
Source: 0001731122-25-000948
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Company: Lunai Bioworks Inc.
Filing Date: 2025-07-09
Form: 8-K
Item: Item 1.01
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Item 1.01. Entry into a Material Definitive Agreement.

On July 7, 2025, Renovaro Inc. (“ Renovaro”)
entered into an Exchange Agreement (the “ Exchange Agreement”) with certain accredited investors (the “ Investors”),
all of whom are existing shareholders of the Company. Pursuant to the Exchange Agreement, the Investors agreed to exchange an aggregate
of $9.7 million in outstanding secured promissory notes (the “ Secured Notes”) for $16.1 million in new convertible promissory
notes (the “ Convertible Notes”), representing a 65% premium to the principal and interest amount of the Secured Notes. The
Convertible Notes mature on July 31, 2025 and do not bear any interest. The exchange was completed to restructure the Company’s
debt obligations and provide additional flexibility to support strategic initiatives.

Immediately following the issuance of the Convertible
Notes on July 7, 2025, the Investors elected to convert the entire $16.1 million principle amount into an aggregate of 53.6 million shares
of common stock (the “ Conversion Shares”), based on the stated $0.30 per share conversion price. The $0.30 per share conversion
price of the Convertible Notes represented a premium to the closing price of the Company’s common stock on July 7, 2025, the date
of execution and conversion. As a result, the issuance of the 53.6 million shares of common stock upon conversion of the Convertible Notes
did not constitute a “below market” issuance under applicable Nasdaq listing rules and did not trigger stockholder approval
requirements under Nasdaq Listing Rule 5635(d). The shares were issued without any additional consideration from the Investors.

As a result of the foregoing transactions, the Company (i) eliminated $9.7
million of secured indebtedness, (ii) issued $16.1 million in Convertible Notes to the same holders, and (iii) issued 53.6 million shares
of common stock upon full conversion of such Convertible Notes. The shares of common stock will be issued on or before July 11, 2025 and
no cash will be issued for any fractional shares. The transactions did not involve any cash proceeds to the Company.

The foregoing summary is qualified in its entirety
by refenced to the form of Exchange Agreement, the form of Convertible Note, and the form of Election Notice, attached hereto as Exhib