RiceBran Technologies announced that it has entered into a securities purchase agreement with new investor with Funicular Funds, LP, a Delaware limited partnership pursuant to which the Company sold and issued a 13.5% secured promissory note at an issue price of $4,000,000 for the gross proceeds of $4,000,000 and 2,222,222 common shares at an issue price $0.18 per share for the gross proceeds of $399,999.96; aggregate gross proceeds of $4,399,999.96 of on December 1, 2023. The company also issued 5,010,206 shares of Funicular Common Stock Warrant Shares at an exercisable at a price of $0.18 per share, subject to adjustments as provided under the terms of the Funicular Warrants. The Funicular Warrants are exercisable at any time on or after December 1, 2023 until the expiration thereof, provided that the Company has a sufficient number of shares of authorized Common Stock under the Company?s Restated and Amended Articles of Incorporation to permit such exercise.

The Funicular Warrants have a term of five years from the date of issuance. he Funicular Note has a stated maturity date of December 1, 2028. Interest accrues at a rate per annum equal to 13.50%.

The issuance of the Funicular Shares and the Funicular Warrants in the Private Placement have not been registered under the Securities Act, and are instead being offered pursuant to the exemption provided in Section 4(a)(2) under the Securities Act.