The company is clearly cash-constrained, raising only $125k through a high-cost structured note. Watch for missed monthly payments starting August 30, 2026 — any default would trigger conversion at a deep discount, causing severe dilution. The stock is likely to face continued downward pressure as the market prices in this distress signal.
Price Chart
Executive Summary
Clean Energy Technologies issued a $147,840 convertible promissory note to 1800 Diagonal Lending LLC, receiving net proceeds of only $125,000 after fees and original issue discount. The note carries a 12% one-time interest charge, requires nine monthly payments of $18,397.78, and is convertible into common stock at a 15% discount to the lowest bid price over the prior 10 trading days only after an event of default. This distressed financing signals acute cash needs and carries highly dilutive, onerous terms.
Key Financial Metrics
Key Facts
- Principal amount $147,840, purchase price $132,000, net proceeds to company $125,000 after $2,500 legal fees and $4,500 due diligence fee
- Original issue discount of $15,840 (12% of principal)
- Maturity April 30, 2027; 9 monthly payments of $18,397.78 starting August 30, 2026
- Conversion only after default at 85% of the lowest closing bid price during the prior 10 trading days
- Beneficial ownership cap of 4.99% (non-waivable) and 19.99% conversion limitation unless Nasdaq shareholder approval obtained
- Company had 12,166,106 shares outstanding as of the agreement date
- Initial reserved amount for conversion: 808,974 shares (4x the shares issuable at current conversion price)
Financial Impact
Net cash infusion of $125,000 against $11M market cap (1.1%); potential dilution from conversion could exceed 6.6% of outstanding shares if default triggers full conversion at current prices
Risk Factors
- High probability of default on monthly payments given the small net proceeds and company's cash position
- Upon default, conversion at 85% of the lowest bid price over 10 days could flood the market with shares at a steep discount
- Cross-default provisions with any other debt to 1800 Diagonal could accelerate additional obligations
- Nasdaq continued listing risk if stock price declines further (delisting is an event of default under the note)
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-035671 |
| Exhibit: ex10-1.htm | 0001493152-26-035671 |
| Document: form8-k.htm | 0001493152-26-035671 |
| Document: 0001493152-26-035671-index-headers.html | 0001493152-26-035671 |
| Document: 0001493152-26-035671-index.html | 0001493152-26-035671 |
| Document: 0001493152-26-035671.txt | 0001493152-26-035671 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 20, 2026 6d ago | 8-K | $0.9650 $0.8900 | ▲ +7.77% | ▲ +6.59% | $0.8250 (+14.51%) |
Aug 14, 2026 10w ago | 8-K | $0.9325 $0.9200 | ▲ +1.34% | ▲ +0.87% | $0.8250 (+11.53%) |
Jul 31, 2026 12w ago | 8-K | $0.9500 $0.9100 | ▲ +4.21% | ▲ +6.01% | $0.8250 (+13.16%) |
Jul 8, 2026 15w ago | 8-K | $0.8400 $0.8520 | ▼ −1.43% | ▼ −1.00% | $0.8250 (+1.79%) |
Jun 30, 2026 16w ago | 8-K | $0.8700 $0.8647 | ▼ −0.61% | ▼ −0.48% | $0.8250 (−5.17%) |
Jun 8, 2026 20w ago | 8-K | $0.7700 $0.8100 | ▼ −5.19% | ▼ −5.49% | $0.8250 (−7.14%) |
Jun 5, 2026 20w ago | 10-Q/A | $0.7599 $0.7700 | ▼ −1.33% | ▼ −1.10% | $0.8250 (−8.57%) |
Jun 5, 2026 20w ago | 10-Q/A | $0.7599 $0.7700 | ▼ −1.33% | ▼ −1.10% | $0.8250 (−8.57%) |
Jun 5, 2026 20w ago | 10-Q/A | $0.7599 $0.7700 | ▼ −1.33% | ▼ −1.10% | $0.8250 (−8.57%) |
Jun 5, 2026 20w ago | 10-K/A | $0.7599 $0.7700 | ▼ −1.33% | ▼ −1.10% | $0.8250 (−8.57%) |
US Market Status
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