Ensysce closes $2M dilutive financing with full-ratchet anti-dilution warrants

Filed April 8, 2026 · Period ending April 7, 2026 · ~1 min read

Key Changes

• high

  Company raised $2M gross ($1.9M net) by issuing Series B preferred convertible into 4.4M shares plus warrants for 8.7M more shares at $0.55 exercise price. Warrants include full-ratchet anti-dilution protection that automatically lowers exercise price if company issues shares below $0.55.

  Item 1.01 verify on EDGAR →
• high

  Preferred stock conversion price already 'reduced significantly' since November 2025 due to anti-dilution adjustments, indicating company has issued shares at lower prices and triggered downward repricing that increases dilution to existing shareholders.

  Item 1.01 verify on EDGAR →
• medium

  Company agreed to restrictions on issuing new equity or filing registration statements while investor holds at least $100K of preferred stock. Also prohibited from variable-rate convertible transactions, limiting future financing flexibility.

  Item 1.01 verify on EDGAR →