ADDvantage Technologies Group, Inc. announced that it has entered into securities purchase agreement with Mast Hill Fund, L.P., a fund managed by Mast Hill Management, LLC for the issuance of 13% senior secured promissory notes in the aggregate principal amount of up to $3,000,000 convertible into shares of common stock of the company and up to 72,000 shares of common stock as a commitment fee and warrants for the purchase of up to 648,000 shares of common stock of the company on April 7, 2023. The investor acquired the notes with principal amount of $2,421,052.63 and paid the purchase price of $2,300,000.00 after an original issue discount of $121,052.63. On the same date, the company issued a warrant to purchase 290,526 shares of common stock with an exercise price of $2.50 exercisable until the five-year anniversary of the Closing Date, a warrant to purchase 232,421 shares of common stock with an exercise price of $1.40 exercisable until the five-year anniversary of the closing date, which warrant shall be cancelled and extinguished against payment of the notes, and 58,105 shares of common stock to the investor as additional consideration for the purchase of the note.

On the closing date, the company delivered such duly executed notes, warrants and common stock to the investor against delivery of such purchase price. The company has received funding pursuant to Regulation D from one investor.