GreenPower Motor Company has issued 1,500 Series A Convertible Preferred Shares for gross proceeds of US$1,425,000, the fourth tranche drawn under a private placement facility with a single institutional investor. The company announced the closing on August 18, 2026.
The financing runs off a Securities Purchase Agreement dated November 14, 2025, which was amended on June 30, 2026. The release does not describe what the amendment changed, does not name the investor, and does not disclose how much has been raised across the four tranches in total or how much capacity remains under the facility.
The proceeds work out to US$950 per preferred share. GreenPower did not state the stated value assigned to each share, which matters because the conversion mechanics are anchored to that figure rather than to the cash paid.
According to the release, each preferred share converts into common shares at a rate calculated as 105% of the stated value, plus any additional amounts owed to the investor, divided by 125% of the closing price of the common shares on Nasdaq the day before the tranche was issued. In plain terms, the investor receives a 5% uplift on the stated value on conversion, but converts at a price set 25% above the market price used as the reference. The release gives no reference price, so the number of common shares the tranche could produce cannot be calculated from the disclosure.
The reference to "additional amounts owing" indicates the instrument can accrue further claims — dividends, fees or similar — that increase the numerator and therefore the share count on conversion. The release does not specify what those amounts are or at what rate they accrue.
GreenPower will pay a cash placement fee of 5% of the proceeds to Digital Offering LLC, which amounts to US$71,250 on this tranche, under an engagement letter dated October 29, 2025. That reduces the net cash from the drawdown to roughly US$1.35 million before other expenses.
The company said nothing about how the money will be used. Its forward-looking statements section refers to whether it will continue to meet the requirements to maintain its Nasdaq listing, a risk factor the company chose to identify by name.
GreenPower, based in Vancouver, builds all-electric medium- and heavy-duty vehicles including transit and school buses, shuttles and cargo vans. Convertible preferred financings drawn in tranches are a common structure for small-cap issuers because they provide cash without a single large equity issuance, but each conversion adds to the common share count. The release contains no updated share count, cash balance or operating figures.
Source: Newsfile
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