$6.0 Million Private Placement
On December 31, 2025, Sow Good entered into a securities purchase agreement for a $6.0 million private placement with investor David Lazar. The financing will be completed in two tranches of $3.0 million each through the issuance of Series AA and Series AAA Convertible Non-Redeemable Preferred Stock.
The first $3.0 million closing was completed on December 31, 2025. The second $3.0 million closing is expected to occur following receipt of required stockholder approvals and prior to March 31, 2026.
Net proceeds from the private placement are expected to be used to fund ongoing operations, address outstanding liabilities, and preserve the Company's ability to operate as a going concern while it pursues strategic initiatives.
"Completing this financing provides Sow Good with critical runway and stability," said David Lazar, Chief Executive Officer and Chair of the Board of Sow Good. "Our immediate focus is to continue serving customers and partners, stabilize the business, and evaluate opportunities to grow within the candy and snack category. At the same time, we will be disciplined and thoughtful as we explore additional strategic alternatives that can unlock long-term value for stockholders."
Strategic Asset Sale and Distribution Agreement
Sow Good also completed the sale of a significant portion of the assets related to the Company's freeze-dried snacks and candy business to Trea Grove, LLC for total consideration of $1.5 million, payable in installments through March 31, ...
