lanzatech amends stock purchase agreement, extends financing deadlines

LanzaTech Global, Inc. (NASDAQ:LNZA), currently trading at $0.21 with a market capitalization of $49.2 million, has amended its Series A Convertible Senior Preferred Stock Purchase Agreement with LanzaTech Global SPV, LLC, a company controlled by an existing investor. According to InvestingPro analysis, the company appears undervalued based on its Fair Value assessment, though investors should note the company is quickly burning through cash, with negative EBITDA of $109 million in the last twelve months. The amendment, effective June 2, 2025, extends several key deadlines related to the issuance and sale of warrants and subsequent financing activities.

Initially, on May 7, 2025, LanzaTech issued 20 million shares of Series A Convertible Senior Preferred Stock to the investor for $40 million. The recent amendment allows LanzaTech to extend the issuance date of warrants to purchase 780 million shares of common stock at a nominal exercise price of $0.0000001 per share. This financing activity comes as the company faces significant challenges, with InvestingPro data showing an 84.5% decline in stock price year-to-date, though the company maintains a healthy current ratio of 2.17, indicating sufficient liquid assets to meet short-term obligations. This extension is valid until immediately before the completion of a "Subsequent Financing" or an "Other Financing," provided it occurs by May 7, 2026. The issuance is contingent on obtaining necessary stockholder approvals and completing a financing event.

The amendment also stipulates that LanzaTech must deliver written consent from BGTF Aggregator LP by June 6, 2025. Additionally, the company is required to hold a stockholder meeting to secure the necessary approvals within 75 days of the original closing date, assuming no review by the Securities and Exchange Commission (SEC) staff. The deadline for completing the subsequent financing is extended to 45 days following the receipt of stockholder approvals.

Furthermore, LanzaTech filed an Amended and Restated Certificate of Designation with Delaware’s Secretary of State. This document outlines changes to the definitions of "Subsequent Financing" and "Stockholder Approval Deadline," reflecting the new timelines.

A waiver agreement was also executed, allowing LanzaTech more time to file a registration statement for resale of the shares. The new deadline is the earlier of 45 days after receiving stockholder approvals or 10 business days following the warrant shares’ issuance.

This information is based on a press release statement filed with the Securities and Exchange Commission. For deeper insights into LanzaTech’s financial health and detailed analysis, including 13 additional ProTips and comprehensive metrics, check out the full company report on InvestingPro, where you’ll find expert analysis and actionable intelligence for smarter investing decisions.

In other recent news, Albertsons Companies (NYSE:ACI) reported robust financial results for Q4 2023, underscoring significant growth in digital sales and pharmacy revenue. The company achieved an adjusted earnings per share (EPS) of $0.46, supported by a 2.3% increase in identical sales and a notable 24% rise in digital sales. Albertsons maintained a gross margin of 27.4% and announced plans for $1.5 billion in productivity savings from FY 2025 to 2027. The company is heavily investing in e-commerce and technology platforms to drive future growth. Albertsons forecasts identical sales growth between 1.5% and 2.5% for FY 2025, with adjusted EBITDA expected to range from $3.8 billion to $3.9 billion. The company plans capital expenditures of $1.7 billion to $1.9 billion, focusing on technology and automation. In other developments, Albertsons has observed a 15% year-over-year increase in loyalty membership, reaching over 45 million members. Additionally, the company is navigating competitive pressures by leveraging its strong domestic procurement capabilities and enhancing its pricing strategies across 120 markets.

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