Item 1.01 Entry into a Material Definitive Agreement.
On September 1, 2022, American Virtual Cloud Technologies, Inc. (the "Company")
entered into an Equity Distribution Agreement (the "Sales Agreement") with
Northland Securities, Inc., as its sales agent (the "Sales Agent"), pursuant to
which the Company may offer and sell from time to time through the Sales Agent
up to $14,785,490 maximum aggregate offering price of the Company's common
stock, par value $0.0001 per share ("Common Stock"), in such amounts as the
Company may specify by notice to the Sales Agent, in accordance with the terms
and conditions set forth in the Sales Agreement. Subject to the terms and
conditions of the Sales Agreement, the Sales Agent will use its commercially
reasonable efforts to sell on the Company's behalf any shares of Common Stock to
be offered by the Company under the Sales Agreement. The Company will pay the
Sales Agent a commission of 3.0% of the gross sales price per share for any
shares of Common Stock sold through the Sales Agent under the Sales Agreement.
The Sales Agreement contains customary representations, warranties and
agreements of the Company, conditions to the Sales Agent's obligations,
indemnification rights and obligations of the parties, and termination
provisions. Under the terms of the Sales Agreement, the Company has agreed to
indemnify the Sales Agent against certain specified types of liabilities,
including liabilities under the Securities Act of 1933, as amended, to
contribute to payments the Sales Agent may be required to make in respect of
these liabilities, and to reimburse the Sales Agent for certain expenses.
The foregoing summary of the Sales Agreement does not purport to be complete and
is qualified in its entirety by reference to the complete terms of the Sales
Agreement, which is filed as Exhibit 1.1 to this Current Report on Form 8-K and
incorporated herein by reference.
Item 8.01 Other Events.
A copy of the opinion of Greenberg Traurig, LLP with respect to the validity of
the shares of Common Stock that may be sold and issued pursuant to the Sales
Agreement is attached as Exhibit 5.1 to this Current Report on Form 8-K. This
Current Report on Form 8-K is also being filed for the purpose of filing
Exhibits 5.1 and 23.1 as exhibits to the Company's effective Registration
Statement on Form S-3 (Registration No. 333-258136), and such exhibits are
hereby incorporated by reference into such Registration Statement.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No. Exhibit
1.1 Equity Distribution Agreement, dated as of September 1, 2022
5.1 Opinion of Greenberg Traurig, LLP
23.1 Consent of Greenberg Traurig, LLP (included within the opinion filed
as Exhibit 5.1)
104 The cover page from this current report on Form 8-K, formatted in
Inline XBRL
1
© Edgar Online, source Glimpses