Company: AMTX
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001437749-25-033667
Chunk: 26

Company: AEMETIS, INC
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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 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
       October 
      2025, ABGL entered into an agreement entitled Tenth Waiver and Amendment to Series A Preferred Unit Purchase Agreement ("PUPA Tenth Amendment") with an effective date of
       August 31, 2025, that, among other provisions, extends the date by which ABGL is required to redeem all of the outstanding Series A Preferred Units to
       December 31, 2025, and changes the aggregate redemption price to
      $118.8 million, which includes a
      $2 million incremental fee for the PUPA Tenth Amendment. The PUPA Tenth 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
       January 1, 2026, and maturing
       January 1, 2027, in substantially the form attached to the PUPA Tenth 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 prior similar amendments in accordance with ASC
      470 and applied troubled debt restructuring accounting, resulting in
      no gain or loss from
      the execution of the particular amendment. In addition, consistent with ASC 470-60, we accreted the amount of principal and interest due using the effective interest method from the starting liability on the effective date of the amendment to the amount that would be due as of the maturity date of the credit agreement. Following this methodology, we
       recorded Series A Preferred