v3.26.1
SUBSEQUENT EVENTS
6 Months Ended
Apr. 30, 2026
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS

NOTE 12SUBSEQUENT EVENTS

 

Effective May 1, the Company reached agreement with the holder of the Series 2025 Senior Secured Convertible Note whereby the note holder would convert their note to the Company’s Series A-1 Preferred Stock when the Company raised a total of $8.5 million in proceeds from sale of the Series A-1 Preferred Stock.

 

On May 15, 2026, a group of investors invested a total of $7.3 million in the Company’s Series A-1 Preferred Stock in its ongoing private placement, bringing the total raised to $9.2 million. This triggered the conversion of the 2025 Senior Secured Convertible Note noted above, resulting in the issuance of 682,292 shares of the Company’s Series A-1 Preferred Stock. In addition, this investment triggered the conversion of the 2022 Series Notes and related accrued interest into 11,931 shares of the Company’s Series A-1 Preferred Stock and conversion of the 2023 Series Notes into 143,050 shares of the Company’s Series A-1 Preferred Stock. The total number of shares of Series A-1 Preferred Stock issued, based on these conversions, was 837,273 shares.

 

As part of the conversion of notes and the investment of the $7.3 million, the Company added certain redemption features for the benefit of all holders of the Series A-1 Preferred Stock.