Monitor XOS common stock price for sustained trading above $16.00, which could trigger mandatory conversion and accelerate dilution. The reduced conversion price lowers the bar for equity conversion, increasing shareholder dilution risk even if the stock stays in the single digits.
Price Chart
Executive Summary
Xos entered into a Third Amended and Restated Convertible Promissory Note with Aljomaih Automotive Co., reducing the conversion price from $71.451 to $12.00 per share and adding a mandatory conversion trigger if the Daily VWAP exceeds $16.00 for 20 of 30 consecutive trading days. No new capital is raised; the restructuring makes conversion more likely at lower stock prices, increasing dilution risk for existing shareholders.
Key Facts
- Third A&R Note reduces conversion price from $71.451 to $12.00 per share.
- Mandatory conversion feature added: Company may compel conversion if Daily VWAP > $16.00 for 20 of 30 trading days.
- Original principal amount remains $20 million; no new funding.
- Note originally issued August 11, 2022; previously amended on September 28, 2022, August 8, 2025, and August 14, 2025.
- Interest rate unchanged at 10.0% per annum, payable in shares.
- Outstanding principal as of Third Amendment Date reduced by $3 million from prior mandatory prepayments.
Financial Impact
Potential dilution if conversion occurs at $12.00 per share on up to $20 million principal; no immediate cash impact.
Risk Factors
- Significant dilution risk if note converts at $12.00 per share or if mandatory conversion is triggered.
- Company continues to have substantial debt on balance sheet with limited cash flow.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001819493-26-000034 |
| Document: xos-20260508.htm | 0001819493-26-000034 |
| Document: 0001819493-26-000034-index-headers.html | 0001819493-26-000034 |
| Document: 0001819493-26-000034-index.html | 0001819493-26-000034 |
| Document: 0001819493-26-000034.txt | 0001819493-26-000034 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Jun 5, 2026 20w ago | S-3 | $0.007800 $0.004300 | ▲ +44.87% | ▲ +46.50% | — |
Jun 5, 2026 20w ago | 8-K | $0.007800 $0.004300 | ▲ +44.87% | ▲ +46.50% | — |
Jun 5, 2026 20w ago | 424B5 | $0.007800 $0.004300 | ▼ −44.87% | ▼ −46.50% | — |
Jun 5, 2026 20w ago | 424B5 | $0.0107 $0.004300 | ▲ +59.81% | ▲ +61.67% | — |
May 14, 2026 23w ago | 8-K | $0.003800 $0.003800 | · 0.00% | ▼ −2.12% | — |
May 13, 2026 23w ago | 8-K | $0.003800 $0.003800 | · 0.00% | ▲ +0.86% | — |
May 4, 2026 25w ago | DEFA14A | $0.003800 $0.003800 | · 0.00% | ▼ −4.95% | — |
Apr 21, 2026 26w ago | 10-K/A | $0.003800 $0.003800 | · 0.00% | ▼ −3.17% | — |
US Market Status
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