Company: AMTX
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001437749-25-025271
Chunk: 21

Company: AEMETIS, INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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      11,000,000 common units and
      6,000,000 convertible, redeemable, secured, preferred membership units (the “Series A Preferred Units”). ABGL issued
      6,000,000 common units to Aemetis, Inc. at a stated value of
      $5.00 per common unit, and
      5,000,000 common units of ABGL are held in reserve as potential conversion units issuable to the Preferred Unit holder upon certain triggering events. From inception of the agreement through
      2022, ABGL issued
      6,000,000 Series A Preferred Units in exchange for
      $30.0 million in funding, reduced by a redemption of 
      20,000 Series A Preferred Units for
      $0.3 million. The original Preferred Unit Purchase Agreement included requirements for preference payments and mandatory redemption, grant of a security interest to the Preferred Unit holder in all assets of ABGL and its subsidiaries in connection with the preference payments due under the agreement, and several operating covenants.

       The Preferred Unit Purchase Agreement has been amended multiple times. Most recently, in
       May 2025, ABGL entered into an agreement entitled Ninth Waiver and Amendment to Series A Preferred Unit Purchase Agreement ("PUPA Ninth Amendment") with an effective date of
       April 30, 2025, that, among other provisions, requires ABGL to redeem all of the outstanding Series A Preferred Units by
       August 31, 2025, for an aggregate redemption price of
      $116.8 million which includes a
      $2 million incremental fee for the PUPA Ninth Amendment. The PUPA Ninth Amendment further provides that if ABGL does
      not redeem the Series A Preferred Units by the redemption date, ABGL will enter into a credit agreement with Protair-
      X and Third Eye Capital effective as of
       September 1, 2025, and maturing
       August 31, 2026, in substantially the form attached to the PUPA Ninth Amendment and specifies that entry into such credit agreement will satisfy the obligation to redeem the Series A Preferred Units. The credit agreement would bear an interest rate equal to the greater of (i) prime rate plus
      10.0% and (ii)
      16.0%. We evaluated the PUPA Ninth Amendment and prior similar amendments in accordance with ASC