Mallard Acquisition Corp. announced a private placement of a convertible promissory note in the principal amount of up to $500,000 on August 27, 2021. The transaction included participation from returning investor to Mallard Founders Holdings, LLC.

The note bears no interest and is due and payable upon the earlier to occur of the date on which the company consummates its initial business combination and April 29, 2022. At the election of the investor, all or a portion of the unpaid principal amount of the note may be converted into warrants of the company, each warrant exercisable for one-half of one share of common stock of the company upon the consummation of an initial business combination equal to the portion of the principal amount of the note being converted, divided by $0.50, rounded up to the nearest whole number of warrants. The principal of the note may be drawn down from time to time prior to the maturity date, upon written request from company to the investor.

The issuance of the note was made pursuant to the exemption from registration contained in Section 4(a)(2) of the Securities Act of 1933, as amended.