ASBP News & Events

Aspire Biopharma closed the second and final tranche of the private placement announced on February 11 for the purchase and sale of 26,250 shares of Series A Convertible Preferred Stock. Pursuant to the closing of the second and final tranche of the Offering, the Company issued an aggregate of 12,500 Preferred Shares for gross proceeds of $10M. With the completion of this tranche of the Offering, total aggregate gross proceeds to the Company were $21M, before deducting placement agent fees and other offering expenses. Based on the total proceeds, the Company's stockholders' equity now exceeds the $2.5M minimum required to maintain its listing on the Nasdaq Capital Market. The Company intends to use the net proceeds from the transaction to support working capital, to fund a portion of the cash component of the proposed DCS acquisition, and other general corporate purposes. The Company entered into a commitment letter with a national financial institution providing for a senior secured credit facility of Aspire in an aggregate principal amount of up $22,500,000. Aspire intends to use the proceeds of the Aspire Credit Facility, if consummated, to finance the acquisition of 100% of DCS. The Company does not anticipate procuring any new equity raise to consummate the purchase. The Aspire Credit Facility is expected to consist of a senior secured five-year term loan, at an interest rate equal to 325 basis points above the one-month term Secured Overnight Financing Rate. The final terms of the Aspire Credit Facility, including the senior secured term loan, will be subject to execution of definitive credit documentation and the satisfaction of customary closing conditions.

Aspire Biopharma Holdings entered into a Letter of Intent to acquire Dura Driver Control Systems, a designer and manufacturer of automotive driver control systems that also apply to other industrial applications. Management of DCS will be bolstered by the addition of a team from Lakewood & Company with more than 100 years' collective experience within the automotive industry. The company said, "The proposed acquisition represents a transformative milestone for Aspire and positions the Company to grow into a diversified, high-revenue enterprise. DCS delivered more than $20M in Adjusted EBITDA on $200M+ Revenue for FY2025. DCS provides a technical proprietary portfolio of over 275 different parts and 310 patents serving more than 150 vehicle platforms across most major automotive OEMs. Lakewood and existing management bring over 200 years of collective automotive experience with major OEMs, Suppliers, and related Industrial Companies." Subject to completion of due diligence, including completion and review of an audit of DCS's financial statements under U.S. GAAP, Aspire is expected to acquire 100% of DCS for a total purchase price of $30M paid in cash.

Aspire Biopharma, wholly owned subsidiary, Buzz Bomb Caffeine Company, announced a strategic sales and marketing brokerage agreement with Interwest Brokerage. This partnership is designed to scale BUZZ BOMB's retail footprint across the grocery, convenience, and alternate channel sectors throughout the Intermountain West.