Company: BSFC
Filing Date: 2025-07-15
Form Type: 10-Q
Source: 0001641172-25-019736
Chunk: 24

Company: Blue Star Foods Corp.
Filing Date: 2025-07-15
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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 right to convert all or any part of the outstanding and unpaid amount of the December Diagonal Note
into shares of the Company’s common stock at a conversion price of 75% of the market price as described in the note. The Company
may not, without Diagonal’s written consent, sell, lease, or otherwise dispose of any significant portion of its assets except
in the ordinary course of business. The Company will reserve a sufficient number of shares to provide for the issuance of shares upon
the full conversion of the December Diagonal Note. For the three months ended March 31, 2025, the Company made principal payments on
the loan totaling $30,283 and interest payments of $3,634. The outstanding balance on the loan was $60,567 as of March 31, 2025.

     17 

On
January 28, 2025, the Company issued to Diagonal a convertible promissory note in the principal amount of $149,650 with an original issue
discount of $19,650 (the “January Diagonal Note”). The January Diagonal Note has an interest rate of 13% with a one-time
interest payment of $19,454 paid upon issuance and a maturity date of October 30, 2025. The proceeds from the sale of the January Diagonal
Note are for general working capital. Upon the occurrence of an event of default as described in the January Diagonal Note, the note
will become immediately due and payable at a default interest rate of 22% of the then outstanding principal amount of the note. Additionally,
Diagonal will have the right to convert all or any part of the outstanding and unpaid amount of the January Diagonal Note into shares
of the Company’s common stock at a conversion price of 75% of the market price as described in the note. The Company may not, without
Diagonal’s written consent, sell, lease, or otherwise dispose of any significant portion of its assets except in the ordinary course
of business. The Company will reserve a sufficient number of shares to provide for the issuance of shares upon the full conversion of
the January Diagonal Note. For the three months ended March 31, 2025, the Company made no principal and interest payments. The outstanding
balance on the loan was $149,650, net of discount of $15,283, and totaling $134,367 as of March 31, 2025.

August
2024 Private Placement Offering

In