Statera Biopharma, Inc. announced a private placement of convertible note in the aggregate principal amount of $400,000 on November 7, 2022. The transaction will include participation from Silverback Capital Corporatio. The notes bears interest at a variable rate of interest per annum equal to the sum of (i) the greater of (A) the prime rate and (B) 3.25% plus (ii) 7.74%.

payment of the aggregate principal amount of the note outstanding together with all accrued interest thereon shall be made on May 1, 2024. The convertible note due date is May 1, 2024. The investor has the right to convert, at any time until the maturity date, all or any portion of the outstanding principal amount, accrued interest and fees due and payable thereon into shares of common stock of the company at a conversion price equal to 75% of the lowest trading price of the company's common stock during the five trading day period preceding the conversion date inclusive of the conversion date.

The aforementioned conversion right of Silverback is subject to certain limitations as set forth in the A&R Note, including, among others, that (i) investor may not convert an amount that would be convertible into that number of conversion shares which would exceed the difference between the number of shares of common stock beneficially owned by Silverback and its affiliates and 4.99% of the outstanding shares of common stock of the company, and (ii) so long as the rules of the Nasdaq Stock Market so require, the sum of the number of shares of the company's common stock that may be issued under the A&R note shall be limited to 19.99% of the shares of common stock issued and outstanding immediately prior to the issue date, unless stockholder approval is obtained.