Company: SNBH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001731122-25-000760
Chunk: 13

Company: SENTIENT BRANDS HOLDINGS INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 13
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,263. Accrued interest for this note as of December 31, 2024 was $141,779 including default interest of $94,789.

    9

On November 18, 2021 (the “Issuance Date”),
the Company entered into a Securities Purchase Agreement with an accredited investor (the “November 2021 Investor”) providing
for the sale by the Company to the November 2021 Investor of a 10% Senior Secured Convertible Promissory Note in the principal amount
of $400,000 (the “November 2021 Note”, and, the “Financing”), to be paid by the November 2021 Investor to
the Company in two tranches (each, a “Tranche”). The first Tranche consists of a payment by the November 2021 Investor to
the Company on the Issue Date of $200,000, from which the November 2021 Investor retained $5,000 to cover its legal fees. A second
Tranche consisting of $200,000 was paid in December 2021, resulting in $395,000 in total proceeds to be received by the Company in
the Financing. In addition to the November 2021 Note, the November 2021 Investor also received a common share purchase warrant (the “November
2021 Warrant”, and together with the November 2021 Note, the “Securities”) to acquire 666,667 shares of common
stock of the Company. The November 2021 Warrant is exercisable for five years at an exercise price of $0.45. The lender agreed to
not exercise any of the warrant and conversion feature from their inception through April 15, 2025. The lender has retained its right
to exercise the warrants and conversion feature from April 16, 2025 through their expiration. The closing of the Financing in the amount
of $400,000 occurred on December 16, 2021. The maturity date (“Maturity Date”) for each Tranche is at the end of the
period that begins from the date each Tranche is paid and ends 12 months thereafter, and interest associated with the November 2021 Note
is 10% per annum. Accrued interest for this note as of March 31, 2025 was $236,954 including default interest of $132,066. Accrued interest
for this note as of December 31, 202