Synaptogenix, Inc. announced that it has entered into a security purchase agreement for the issuance of 15,000 Series B convertible preferred stock at a price of $1,000 per convertible preferred stock for gross proceeds of $15,000,000 on November 17, 2022. The transaction will include participation from returning accredited investors. The convertible preferred stock initially convertible into up to 1,935,485 shares of the company's common stock, par value $0.0001 per share at a conversion price of $7.75 per share.

The company has also issued warrants to acquire up to an aggregate of 1,935,485 shares of common stock. The company will be required to redeem the preferred shares in 15 equal monthly installments, commencing on April 1, 2023. The holders of the preferred shares will be entitled to dividends of 7% per annum.

The transaction is exempt from the registration requirements of the Securities Act pursuant to the exemption for transactions by an issuer not involving any public offering under Section 4(a)(2) of the Securities Act of 1933, and Rule 506 of Regulation D of the Securities Act. The closing of the transaction is expected to occur on November 21, 2022.