Leet Technology Inc. announced that it has entered into a securities purchase agreement with 1800 Diagonal Lending, LLC for a private placement of a convertible note in the principal amount of $113,300 at a discount of $10,300 for gross proceeds of $103,000 on November 4, 2022. The note accrues interest at an annual fixed interest rate of 8% and a default rate of 22%, and matures on November 4, 2024. The investor may convert the note into common shares of the company, 180 days after the closing date until the later of maturity date and the date the company pays any amounts owed in connection with an event of default.

The per share conversion price is 75% multiplied by the average of the lowest three closing bid prices for the common stock during the ten trading days ending on the last trading day prior to the conversion date. The company has the right to prepay the outstanding principal amount of the note, plus any accrued interest on the outstanding principal, including any default interest at a rate of 110% during the period ending 60 days after the closing date, 115% during the period between 61 days and 180 days after the closing date and 120% during the period between 180 days and 730 days after the closing date. The company paid to investor $2,000 for its legal fees and $1,000 for due diligence fee.

The company raised the funding pursuant to Regulation D.