Vivakor Issues Convertible Notes and Shares to Investors

Vivakor, Inc., a company involved in refuse systems and operating under the name 01 Energy & Transportation, has disclosed the issuance of convertible promissory notes and shares to a group of non-affiliated accredited investors. The transactions, which occurred between June 6, 2025, and June 9, 2025, were part of a Securities Purchase Agreement (SPA).

The company, based in Dallas, Texas, issued notes totaling approximately $5.1 million in principal amount, while receiving $4.35 million prior to deductions for various fees. These notes carry a 15% original issuance discount, a one-time 10% interest charge at issuance, and are convertible at 80% of the lower of the closing price of Vivakor’s common stock on the day before conversion notice or the average of the four lowest volume-weighted average prices over the twenty trading days before the notice date. The financing comes as InvestingPro data shows the company’s current ratio at 0.22, indicating potential liquidity challenges, with short-term obligations exceeding liquid assets.

In addition to the notes, Vivakor also issued 652,500 shares of common stock to the investors as an incentive to enter into the SPA and notes. The issuance of these securities was exempt from registration under Section 4(a)(2) of the Securities Act as the transactions involved accredited investors familiar with the company’s operations.

The information reported is based on Vivakor’s filing with the Securities and Exchange Commission on June 11, 2025. The company’s common stock is traded under the symbol VIVK on the Nasdaq Capital Market.

In other recent news, Vivakor Inc. reported a notable surge in its first-quarter financial results, with revenue increasing by 133% to $37.3 million and gross profit rising 345% to $4.8 million compared to the previous year. The company’s gross margin improved to 12.7%, while adjusted EBITDA reached $2.5 million. Despite an operating loss of $6.4 million, Vivakor’s midstream assets achieved record revenue levels, contributing to a positive outlook for ongoing expansion projects. Additionally, Vivakor has expanded its operations in the Permian and Eagle Ford Basins, which are crucial for crude oil aggregation and transportation. The company also issued convertible promissory notes totaling $575,000 and additional shares to investors, aiming to strengthen its financial position. Furthermore, Vivakor amended a loan agreement with Cedarview Capital Management, incorporating a revised repayment schedule and issuing new equity securities. The company projects record revenue for 2025, following a strong 2024 marked by the acquisition of the Endeavor Entities and expansion of the Omega Pipeline System. Vivakor’s strategic moves are aimed at enhancing its infrastructure and diversifying revenue streams through its newly formed business unit, Vivakor Supply & Trading.

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