Healthcare technology company issued 12,100 shares of convertible preferred stock at $1,000 each, with an initial conversion price of $1.00 and an 8% dividend payable in common stock upon certain events.
Marpai said it entered securities purchase agreements with accredited investors for a private placement of newly designated convertible preferred stock led by Mitchell Companies, raising $12.1 million. The healthcare technology company said the funding is intended to speed growth, support its technology-enabled healthcare services platform and strengthen its financial position. Under the deal, Marpai sold 12,100 preferred shares at $1,000 each with an initial conversion price of $1.00. The securities carry an 8% dividend payable in common stock upon a liquidity event or conversion to common stock, and they automatically convert upon a qualified public offering or approval by 60% of preferred holders. Marpai said the securities were sold in a private placement and were not registered under the Securities Act of 1933, meaning they cannot be sold in the United States without registration or an applicable exemption.