Fannie Mae, Freddie Mac shares tumble after conservatorship comments
Loop Media, Inc. (NYSE:LPTV) reported receiving default and demand notices from several lenders in June after failing to meet payment obligations on various loan agreements, according to a statement filed with the Securities and Exchange Commission.
On June 10, the company received a demand notice from one of the lenders under its May 2023 Secured Non-Revolving Line of Credit Loan Agreement. The line of credit, originally for up to $4 million and secured by all company assets, matured on May 10, 2025, with a remaining principal and interest balance of $889,000 owed to three lenders. The lender, owed $300,000, declared the loan 30 days past due and requested full payment within 10 days. Under the agreement, the interest rate on outstanding principal increases by 5 percentage points, to 17% per annum, following a default.
On June 16, the Joseph G. Bellino Trust notified Loop Media of a default under a $2 million convertible promissory note issued in October 2024. The note carries a 30% annual interest rate and was personally guaranteed by Bruce A. Cassidy, the company’s executive chairman. The trust stated it would accelerate repayment of all principal and interest due after the company failed to make a scheduled payment on June 1.
On June 20, 1800 Diagonal Lending, LLC sent a notice of default and demand letter after Loop Media failed to pay $79,260 due on June 16 under a series of promissory and bridge notes. The lender demanded immediate payment of 150% of the remaining outstanding principal, totaling $286,326, plus accrued and default interest at a rate of 22% per annum. The lender also converted $35,000 of debt into 2,650,200 shares of common stock on June 20 and June 24, leaving $36,310 due under one of the notes.
The company stated that if it does not meet the lenders’ demands, there is no assurance as to whether the lenders will enforce their rights, which could include further debt conversions or other legal remedies.
This information is based on a press release statement provided in the company’s SEC filing.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.