On April 26, 2021 Nascent Biotech, Inc. (OTCQB:NBIO) ("Nascent Biotech", "Nascent", or the "Company"), a clinical-stage biotechnology company pioneering the development of monoclonal antibodies targeting treatment of various cancers and viral infections, reported that It has paid off and eliminated a major convertible debt note, pre-emptively preventing a dilutive conversion (Press release, Nascent Biotech, APR 26, 2021, View Source [SID1234578481]).
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The note, which was held by JSJ Investments, LLC ("JSJ"), represented over $186k in debt carried pre-conversion on the Company’s balance sheet. Under the terms associated with the note, JSJ had the right to convert the value of the note into common shares at a substantial discount to current average trading levels in NBIO shares, which would have represented a significant dilutive event.
Instead, to prevent such an event and to reinforce its commitment to preserving shareholder value, the Company has paid off the full value of the note.
Nascent’s CEO Sean Carrick stated, "We value our shareholders and our reputation as a shareholder friendly Company above all else. We have our sights set on some very big long-term objectives. And we won’t get there by working against the interests of our common equity holders. Paying off this JSJ note reduces uncertainty and lightens the balance sheet. We look forward to identifying other opportunities to defend our shareholders’ interests and avoid unnecessary dilution in financing our progress as we move toward full commercialization of monoclonal antibody solutions in the cancer and viral treatment markets."