Leet Technology Inc (OTCPK:LTES) closed the last session at $0.27 after rising 42.11%, bringing its market capitalization to $41.01M. There were 1.45 million shares traded recently, far exceeding LTES’s typical daily volume of 4K. Furthermore, the shares have been trading between $0.18 and $0.444. In the pink sheets, LTES has 151.89M shares outstanding and 15.27M shares float. Shares of LTES soared after the share issuance agreement was revealed in a filing.
Who has LTES agreed to issue shares to?
With its flagship product Matchroom and a focus on the mass market, Leet Technology Inc, formerly known as Blow & Drive Interlock Corporation, is an eSports and competitive gaming aggregator. A key focus of LTES is the delivery of an end-to-end eSports and gaming ecosystem that will enable registered users to play wherever and whenever they choose. LTES focuses on providing products and services to the general mass market rather than the niche professionals who comprise most of the market share. LTES builds cost-efficient, business-enhancing solutions in partnership with telecom companies and OTT service providers.
Leet Technology and Lincoln Park Capital Fund agreed into a purchase agreement and a registration rights agreement on October 6, 2021, unveiled LTES in a filing with SEC . Lincoln Park has agreed to acquire up to $15.0 million of LTES common stock, par value $0.0001 per share, under the terms of the deal.
- Under the terms and circumstances of the Purchase Agreement, LTES has the right, but not the obligation, to sell to Lincoln Park, and Lincoln Park has the responsibility to purchase up to $15.0 million of LTES Common Stock.
- LTES’s sales of Common Stock, if any, will be subject to limitations outlined in the Purchase Agreement.
- The sale may occur at any point throughout the 36-month term beginning on the agreement date, at LTES’ exclusive discretion.
- The sale will also be subject to the fulfillment of the conditions to Lincoln Park’s purchase obligation set forth in the Purchase Agreement.
- A registration statement covering the resale by Lincoln Park of shares of LTES Common Stock that have been and may be issued to Lincoln Park under the Purchase Agreement is also one of the requirements.
- The Registration Rights Agreement, which LTES agreed to file with the Securities and Exchange Commission (the “SEC”), is deemed valid by the SEC, and a final prospectus related to it is filed with the SEC.
What has LTES offered further?
Leet Technology (LTES) also allowed Lincoln Park to make “accelerated acquisitions” and “further accelerated purchases” as specified in the Purchase Agreement. The purchase price per share of LTES Common Stock sold in each such accelerated purchase and any subsequent accelerated purchases, if any, will be based on the prevailing market price of the Common Stock at the time of sale, as determined under the Purchase Agreement. There are no upper bounds on the price per share that Lincoln Park must pay for shares of LTES Common Stock in any Purchase Agreement transaction.