ScanTech AI Systems Announces Proposed $20 Million Convertible Note Financing with ARC Group

Reuters
2025/11/24
ScanTech AI Systems Announces Proposed $20 Million Convertible Note Financing with ARC Group

ScanTech AI Systems Inc. announced that it has entered into a non-binding term sheet with ARC Group International Ltd. for a proposed $20 million subordinated convertible note facility financing. Under the terms of the agreement, the company would have access to up to $6 million upon the initial closing, following the filing of a registration statement with the U.S. Securities and Exchange Commission and receipt of required shareholder approvals. Additional tranches of $2 million each are expected to be available every forty-five trading days after the first tranche, subject to customary conditions. The convertible notes bear a 9% annual dividend and a 3% original issue discount, and are convertible into shares of the company's common stock at a price equal to 110% of the closing price on the trading day prior to signing, subject to a $1.00 per share floor. The term sheet is non-binding and the completion of the financing is subject to negotiation and execution of definitive agreements, due diligence, and other customary closing conditions.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. ScanTech AI Systems Inc. published the original content used to generate this news brief via GlobeNewswire (Ref. ID: GNW9590971-en) on November 24, 2025, and is solely responsible for the information contained therein.

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