Company: ARTL
Filing Date: 2025-06-26
Form Type: 8-K
Source: 0001640334-25-001062
Chunk: 1

Company: ARTELO BIOSCIENCES, INC.
Filing Date: 2025-06-26
Form: 8-K
Item: Item 1.01
Chunk 1
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 resale of the shares of Common Stock underlying the Warrants to the holder. A holder of a Warrant may not exercise any such Warrant to the extent that such exercise would result in the number of shares of Common Stock beneficially owned by such holder and its affiliates exceeding 4.99% or 9.99% (at the election of the holder) of the total number of shares of Common Stock outstanding immediately after giving effect to the exercise, which percentage may be increased or decreased at the holder’s election not to exceed 9.99% (the “Beneficial Ownership Limitation”).

The gross proceeds from the Private Placement, before deducting offering expenses payable by the Company, are expected to be approximately $1.425 million (or up to approximately $6.403 million in gross proceeds if the Warrants are fully exercised for cash). The Company will use commercially reasonably efforts to use $250,000 of the net proceeds from the Private Placement to purchase $250,000 of the digital currency known as SOL and the balance of the net proceeds for general corporate and working capital purposes.

In addition, pursuant to the Purchase Agreement, the Company also agreed to file a registration statement with the Securities and Exchange Commission (the “SEC”) within fifteen (15) days following the closing of the Private Placement (subject to certain exceptions) for purposes of registering the resale of the Shares (including the Warrant Shares), to use its commercially reasonable efforts to have such registration statement declared effective as promptly as practicable, and to keep such registration statement effective for so long as any Shares or Warrant Shares remain outstanding and are not freely tradable without restriction under Rule 144.

The Purchase Agreement contains customary representations, warranties and agreements by the Company, indemnification obligations of the Company and the Purchasers, including for liabilities under the Securities Act of 1933, as amended (the “Securities Act”), and other obligations of the parties. The representations, warranties and covenants contained in the Purchase Agreement were made only for purposes of such Purchase Agreement and are made as of specific dates; are solely for the benefit of the parties (except as specifically set forth therein); may be subject to qualifications and limitations agreed upon by the parties in connection with negotiating the terms of the Purchase Agreement, instead of establishing matters as facts; and may be subject to standards of materiality and knowledge applicable to the contracting parties that differ from those applicable to the investors generally. Investors should not rely on the representations, warranties and covenants or any description thereof as characterizations of