Business Context and Reporting Period
Company: My Size, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: August 16, 2017
Reporting Period: Specific event date of August 16, 2017.
Context: The Company, an emerging growth company incorporated in Delaware, reported the entry into material definitive agreements involving the sale of unregistered equity securities.
Key Financial Metrics
This filing does not provide comprehensive financial statements, revenue, profit, cash flow, margins, or debt levels. The financial data is limited to the specific capital raise transactions detailed below:
- Transaction 1 (SPA): Sale of 200,000 shares of Common Stock at $1.00 per share to one investor (Total: $200,000).
- Transaction 1 (Additional): Expected receipt of an additional $50,000 from a second investor for shares at $1.00 per share.
- Transaction 2 (Installment SPA): Agreement for an investor to purchase $530,000 worth of Common Stock at $1.00 per share in installments.
- Security: A guarantee note of $530,000 issued by Trade Bancorp secures the Installment SPA, expiring November 13, 2017.
Material Changes
The filing reports the following material changes as of August 16, 2017:
- Execution of two Securities Purchase Agreements (SPA and Installment SPA).
- Issuance of unregistered equity securities exempt under Section 4(a)(2) of the Securities Act of 1933.
- Receipt of a guarantee note from Trade Bancorp to secure future capital commitments.
Guidance, Outlook, and Risks
Management Commentary: The filing summarizes the terms of the agreements but refers to the full text of the agreements (Exhibits 10.1 and 10.2) for complete terms. No forward-looking guidance or outlook regarding future operations is provided in this text.
Risks and Contingencies:
- Performance Risk: The Company may call the guarantee note if the investor in the Installment SPA fails to fulfill the obligation to purchase $530,000 of shares.
- Expiration Risk: The guarantee note expires 90 days from issuance (November 13, 2017).
Investor Verification Checklist
- Verify the full terms of the Securities Purchase Agreements in Exhibits 10.1 and 10.2.
- Confirm the actual receipt of the $50,000 from the second investor mentioned in the first SPA.
- Monitor the status of the $530,000 installment payments and the validity of the Trade Bancorp guarantee note prior to its November 13, 2017 expiration.
- Review the Company's latest 10-K or 10-Q for baseline financial health, as this 8-K does not contain historical financial metrics.