Company: MFON
Filing Date: 2025-06-06
Form Type: 10-Q
Source: 0001641172-25-014006
Chunk: 24

Company: MOBIVITY HOLDINGS CORP.
Filing Date: 2025-06-06
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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The Company entered into Amendment No. 4 (the “Amendment”)
to Amended and Restated Credit Facility Agreement and Convertible Notes (the Credit Facility Agreement), signed on November 21,2024, which
amends the terms of the Credit Facility Agreement, between the Company and Thomas B. Akin, and any convertible notes issued thereunder.
The Amendment amends the existing Credit Facility Agreement to extend the maturity of the agreement and related convertible notes thereunder
until March 31, 2027. Principal payments have been deferred to a period beginning on April 30, 2025 and ending March 31, 2027. The Company
determined that the change in repayment terms should be accounted for as a modification as opposed to a complete extinguishment of debt,
based on the guidance in ASU 470-50. The key components of this determination were as follows: (a) the changes in the structure of the
debt was not deemed significant; and (b) the modification of terms were not deemed substantial enough to be treated as an extinguishment,
since the present value of the new note terms did not exceeded the present value of the prior note terms by more than 10%.

During the three months ended March 31, 2025,
a total of $450,272
of accrued interest from equity payable was converted into 1,860,123
shares of common stock and a $143,554 loss
on settlement of debt was recorded. The shares were convertible and converted on the last day of the quarter, based on a
90-day volume-weighted average price (VWAP) of $0.2514,
while the stock price on the conversion date was $0.4117,
leading to a loss. As of March 31, 2025, the Company had a principal total of $5,873,125,
a debt discount balance of $160,868
for a net principal balance of $5,712,257
and accrued interest of $220,242
that was recorded to equity payable.

Related Party Convertible Notes

The Convertible Note and all accrued interest
thereon are convertible and converted into shares of our common stock, from time to time, at the option of the holder thereof, at a
conversion price per share equal to the larger of either $0.50
or of the volume-weighted average price of our common stock quoted on the OTCQB ® Venture Market operated by OTC Markets