Jeffs Plunges on Purchase Pact
Jeffs' Brands Ltd. (NASDAQ: JFBR) tumbled in early Thursday trading. The Tel Aviv-based company a data-driven e-commerce firm operating on the Amazon Marketplace announced that it has entered into a Securities Purchase Agreement, with an institutional investor, pursuant to which the Company may issue and sell, from time to time, convertible promissory notes in an aggregate principal amount of up to $100.0 million. Upon the signing of the SPA, the Company issued and sold to the Investor an initial $5.0 million Promissory Note for a purchase price of $4.5 million.
Aegis Capital Corp. acted as independent advisor for the transaction.
Pursuant to and subject to the conditions set forth in the SPA, beginning on December 1, 2025, the Company may request that the Investor purchase additional Promissory Notes, each in a principal amount of up to $2.5 million per quarter.
The Company intends to use the net proceeds from the sale of the Promissory Notes for working capital and general corporate purposes, as well as for potential acquisitions to support its exploration of strategic opportunities.
JFBR shares lost 30 cents, or 4.6%, to $6.24.
