Nuburu, Inc. announced that it has entered into a secured bridge loan agreement with existing investors and a new institutional investor to issue zero-interest promissory notes for the gross proceeds of $5,500,000 on November 14, 2023. The Bridge Loan consists of zero-interest promissory notes issued with a 10% original issue discount, which will mature when we close the anticipated credit facility. Following acceptance by the NYSE of the Company?s supplemental listing application, the Company will also issue to the holders of Notes warrants exercisable for common stock equal to 100% of the Note principal, which will be exercisable for $0.25 per share, have a 5-year term, and may be repurchased by the Company when the trading price exceeds $1.50 for 20 out of 30 trading days.

If the Notes have not been repaid within six or nine months after issuance, the Notes will begin to bear interest (at the SOFR rate plus 9% and at the SOFR rate plus 12%, respectively) and additional 25% warrant coverage will be provided at each such date. Pursuant to a registration rights agreement among the Company and the holders of warrants, the Company intends to register the common stock underlying the warrants no later than February 1, 2024.