Monitor for additional closings under the remaining $750,000 capacity, which would further dilute equity. The conversion price of $1.60 is likely below the current market price given the $4M market cap, creating immediate overhang. Watch for any forced conversion triggers if the stock rallies above $3.00.
Price Chart
Executive Summary
Newton Golf completed an additional closing under its existing securities purchase agreement, issuing a $200,000 convertible note (10% PIK interest, converts at $1.60/share) and a warrant for 20,000 shares at $1.75. This brings total issued convertible notes to $2.05M and warrants for 205,000 shares. The company has $750,000 in remaining capacity. The financing is dilutive and adds debt to a micro-cap company with a $4M market cap.
Key Financial Metrics
Key Facts
- Additional closing on June 26, 2026: $200,000 principal convertible note + 20,000 share warrant.
- Aggregate issued: $2,050,000 convertible notes and warrants for 205,000 shares.
- Remaining authorized: $750,000 notes and 75,000 warrants.
- Convertible notes bear 10% annual PIK interest, mature 18 months, convert at $1.60/share.
- Warrants exercisable at $1.75/share for 5 years.
- Company can force conversion if stock trades at or above $3.00 for 10 consecutive days before maturity.
Financial Impact
Dilution from conversion of $2.05M notes at $1.60 would add ~1.28M shares; warrants could add 205,000 shares at $1.75. Combined potential dilution is significant relative to current market cap of $4M.
Risk Factors
- Further dilution from remaining $750,000 note capacity and warrants
- Default risk if company cannot meet 10% PIK interest obligations
- Potential stock price pressure from conversion and warrant exercise
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-031678 |
| Document: 0001493152-26-031678-index-headers.html | 0001493152-26-031678 |
| Document: 0001493152-26-031678-index.html | 0001493152-26-031678 |
| Document: 0001493152-26-031678.txt | 0001493152-26-031678 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 13, 2026 14d ago | 8-K | $0.8601 | awaiting T+20 | — | $1.06 (−23.24%) |
Sep 24, 2026 4w ago | 8-K | $0.9630 $0.9160 | ▲ +4.88% | ▲ +4.46% | $1.06 (−10.07%) |
Jul 9, 2026 15w ago | 8-K | $0.7820 $1.06 | ▲ +35.55% | ▲ +33.31% | $1.06 (+35.55%) |
Jul 2, 2026 16w ago | 8-K | $0.8200 $1.05 | ▼ −28.05% | ▼ −28.46% | $1.06 (−29.27%) |
Jun 8, 2026 20w ago | 8-K | $0.9950 $0.8000 | ▲ +19.60% | ▲ +21.04% | $1.06 (−6.53%) |
May 20, 2026 22w ago | 8-K | $0.9500 $1.03 | ▲ +8.42% | ▲ +7.68% | $1.06 (+11.58%) |
Apr 13, 2026 28w ago | 8-K | $1.39 $1.13 | ▲ +18.70% | ▲ +25.00% | $1.06 (+23.74%) |
Apr 9, 2026 28w ago | 8-K | $1.37 $1.23 | ▲ +10.22% | ▲ +17.79% | $1.06 (+22.63%) |
US Market Status
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