InvestorNewsBreaks – Brain Scientific Inc. (BRSF) Announces $5.6M Private Placement, Conversion of Approximately $12.9M Debt into Equity

Brain Scientific (OTCQB: BRSF) is a medical technology company with multiple patents and FDA-cleared products. The company today announced its entry into definitive agreements with certain institutional and accredited investors for the sale of senior secured convertible debentures and warrants to purchase shares of its common stock, resulting in total gross proceeds of approximately $5.1 million before deduction of placement agent’s fees and other offering expenses. Under the securities purchase agreement, the company has agreed to sell senior convertible debentures, with a principal amount of approximately $5.6 million (including OID of 10%), with a 12-month term. In addition, in connection with this offering, holders of certain existing convertible notes of the company agreed to convert their notes into an aggregate of approximately 54,536,573 shares of the company’s common stock, based on a conversion price of $0.25 per share including principal and interest. To incentivize existing noteholders to convert, Brain Scientific increased the principal amount of the existing convertible notes by $1,175,741, resulting in the approximate aggregate principal amount of $12,933,155 being converted into equity, plus interest. In connection with their original investment, these holders will also be entitled to warrants, based on 50% coverage of their original investment amount, which will have a four-year term after issuance and an exercise price of $0.25 per share. Joseph Gunnar & Co. LLC is acting as the sole placement agent for the offering.

To view the full press release, visit https://ibn.fm/HZBJf

About Brain Scientific Inc.

Brain Scientific is a medical technology company with multiple patents and FDA-cleared products. Brain Scientific is committed to developing next-gen solutions that advance the future of neurodiagnostic and OEM medical devices. Brain Scientific has two product lines covering neurology and precision motion. The NeuroCap and NeuroEEG are smart neurological diagnostic devices that simplify administration, shorten scan time and cut costs. The Piezo Motion product line consists of ultra-efficient compact precision motors that will drive the next generation of medical devices. To learn more about Brain Scientific’s corporate strategy, products or investor relations, please visit www.BrainScientific.com.

NOTE TO INVESTORS: The latest news and updates relating to BRSF are available in the company’s newsroom at https://ibn.fm/BRSF

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