UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

FORM 8-K

 

CURRENT REPORT
Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): June 1, 2018

 

HELIOS AND MATHESON ANALYTICS INC.

(Exact name of Registrant as specified in charter)

 

Delaware   0-22945   13-3169913
(State or other jurisdiction
of incorporation)
  (Commission File Number)   (IRS Employer
Identification Number)

 

Empire State Building

350 5 th  Avenue

New York, New York 10118

(Address of principal executive offices)

 

Registrant’s telephone number, including area code:  (212) 979-8228

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions (see General Instruction A.2 below).

 

☐  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
   
☐  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR240.14a-12)
   
☐  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).
   
☐  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13(e)-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐ 

 

 

 

 

 

  

ITEM 1.01     ENTRY INTO MATERIAL DEFINITIVE AGREEMENT

 

Amendment to the November Securities Purchase Agreement and the November Notes

 

As previously disclosed in the Form 8-K filed with the Securities and Exchange Commission (the “SEC”) on November 6, 2017, on November 6, 2017, the Company and institutional buyers (the “November Buyers”) entered into a Securities Purchase Agreement (the “November Securities Purchase Agreement”) pursuant to which the Company issued to the November Buyers: (i) senior bridge convertible notes, in the aggregate original principal amount of $5 million, convertible into shares of common stock of the Company (the “Common Stock”), in accordance with the terms thereof and (ii) senior secured bridge convertible notes, in the aggregate original principal amount of $95 million, convertible into shares of Common Stock, in accordance with the terms thereof (together, the “November Notes”).

 

On June 1, 2018, the Company and a November Buyer entered into an amendment to the November Securities Purchase Agreement and the November Notes to reduce the number of shares of Common Stock required to be reserved for issuance under the November Notes from 200% to 110% of the maximum number of shares of Common Stock issuable upon conversion of the November Notes until the earlier of the Stockholder Approval Date (as defined below) and August 1, 2018. After such date, the required reserve amount will be increased back to 200%.

 

Amendment to the January Securities Purchase Agreement and the January Notes

 

As previously disclosed in the Form 8-K filed with the SEC on January 11, 2018, on January 11, 2018, the Company and an institutional buyer (the “January Buyer”) entered into a Securities Purchase Agreement (the “January Securities Purchase Agreement”), pursuant to which the Company issued to the January Buyer: (i) senior subordinated convertible notes, in the aggregate original principal amount of $25 million, convertible into shares of Common Stock, in accordance with the terms thereof and (ii) senior secured convertible notes, in the aggregate original principal amount of $35 million, convertible into shares of Common Stock, in accordance with the terms thereof (together, the “January Notes”).

 

On June 1, 2018, the Company and the January Buyer entered into an amendment to the January Securities Purchase Agreement and the January Notes to reduce the number of shares of Common Stock required to be reserved for issuance under the January Notes from 200% to 100% of the maximum number of shares of Common Stock issuable upon conversion of the January Notes until the earlier of (1) the date stockholders approve resolutions providing for the issuance of the January Notes and the shares of Common Stock issuable upon conversion of the January Notes (the “Stockholder Approval” and the date the Stockholder Approval is obtained, the “Stockholder Approval Date”) and (2) August 1, 2018. After such date, the required reserve amount will be increased back to 200%. The amendment to the January Securities Purchase Agreement also extended the date by which the Company must hold the special meeting to obtain the Stockholder Approval from June 1, 2018 to August 1, 2018.

 

ITEM 9.01     FINANCIAL STATEMENTS AND EXHIBITS

 

(d)  Exhibits

  

Exhibit No.   Description
10.1*   Amendment No. 1 to November Securities Purchase Agreement and Convertible Notes dated June 1, 2018.
10.2*   Amendment No. 2 to January Securities Purchase Agreement and Convertible Notes dated June 1, 2018.

 

*filed herein

   

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SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

  

  HELIOS AND MATHESON
  ANALYTICS INC.
   
Date: June 4, 2018  By: /s/ Stuart Benson
    Chief Financial Officer

 

 

 2

 

Exhibit 10.1

 

AMENDMENT NO. 1

 

TO NOVEMBER SECURITIES PURCHASE AGREEMENT

 

AND CONVERTIBLE NOTES

 

This Amendment No. 1 to November Securities Purchase Agreement and Convertible Notes (this “ Amendment ”) is entered into as of June 1, 2018, by and between Helios and Matheson Analytics Inc., a Delaware corporation (the “ Company ”), and the investor signatory hereto (the “ Holder ”), with reference to the following:

 

A. Prior to the date hereof, pursuant to that Securities Purchase Agreement, dated as of November 6, 2017, by and among the Company and the Buyers signatory thereto (the “ November Securities Purchase Agreement ”), the Company issued to the Buyers, (i) senior bridge convertible notes, in the aggregate original principal amount of $5 million, convertible into shares of Common Stock, in accordance with the terms thereof and (ii) senior secured bridge convertible notes, in the aggregate original principal amount of $95 million, convertible into shares of Common Stock, in accordance with the terms thereof (together, the “ November Notes ”).

 

B. The Company and the Holder desire to amend the November Securities Purchase Agreement and the November Notes and provide for certain waivers thereunder, as provided in this Amendment.

 

C. The Holder, alone, constitutes the Required Holders as of the date of this Amendment.

 

D. Capitalized terms used but not defined in this Amendment shall have the meanings ascribed to them in the November Securities Purchase Agreement.

 

NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants hereinafter contained, the parties hereto agree as follows:

 

1.  Amendment to Section 4(l) of the November Securities Purchase Agreement; Waiver . The amount “200%” set forth in Section 4(l) of the November Securities Purchase Agreement is hereby amended to be “110%” (equal to 203,814,886 shares of Common Stock (subject to proportionate adjustment for any stock split, dividend, stock combination, recapitalization or other similar transaction) as of the date of this Amendment), until the earlier of the Stockholder Approval Date (as defined in the Securities Purchase Agreement, dated as of January 11, 2018, between the Company and the Holder, as amended (the “ January SPA ”)) or the Stockholder Meeting Deadline (as defined in the January SPA), after which the number “110%” therein shall be amended to be “200%” automatically and without any further action by the parties to this Amendment required. The Holder hereby waives any Event of Default (as defined in the November Notes) that may have arisen on or prior to the date of this Amendment solely as a result of the Company failing to reserve the Required Reserve Amount (as in effect prior to this Amendment). The foregoing waiver shall not apply to any Event of Default occurring after the date of this Amendment.

 

 

 

 

2.  Amendment to Section 11(a) of November Notes; Waiver . The amount “200%” set forth in Section 11(a) of the November Notes is hereby amended to be “110%” (equal to 203,814,886 shares of Common Stock (subject to proportionate adjustment for any stock split, dividend, stock combination, recapitalization or other similar transaction) as of the date of this Amendment), until the earlier of the Stockholder Approval Date (as defined in the January SPA) or the Stockholder Meeting Deadline (as defined in the January SPA), after which the number “110%” therein shall be amended to be “200%” automatically and without any further action by the parties to this Amendment required. The Holder hereby waives any Event of Default (as defined in the November Notes) that may have arisen on or prior to the date of this Amendment solely as a result of the Company failing to reserve the Required Reserve Amount (as in effect prior to this Amendment). The foregoing waiver shall not apply to any Event of Default occurring after the date of this Amendment.

 

3.  Transfer Agent Instructions . The Company and the Holder hereby agree that the Irrevocable Transfer Agent Instructions shall be supplemented with a letter substantially in the form attached hereto as Exhibit A , which the Company shall execute and deliver to its transfer agent no later than the Business Day immediately following the date of this Amendment.

 

4.  Current Issued and Outstanding and Reserved Shares . The Company hereby represents and warrants to the Holder that, (a) as of the date of this Amendment, the Company has 500,000,000 shares of Common Stock authorized, (ii) as of May 30, 2018, the Company had 153,927,839 shares of Common Stock issued and outstanding and an aggregate of 277,363,962 shares of Common Stock reserved for issuance pursuant to outstanding securities that are convertible into or exercisable for Common Stock and other obligations of the Company, after giving effect to this Amendment and Amendment No. 2 to the Securities Purchase Agreement, dated January 11, 2018, between the Company and the buyers signatory thereto, and the convertible notes issued pursuant thereto.

 

5.  Ratifications . Except as otherwise expressly provided herein, the November Securities Purchase Agreement and the November Notes are, and shall continue to be, in full force and effect and are hereby ratified and confirmed in all respects.

 

6.  Miscellaneous Provisions . Section 9 of the November Securities Purchase Agreement is hereby incorporated by reference herein, mutatis mutandis.

 

7.  Disclosure of Transaction . The Company shall, on or before 8:30 a.m., New York City Time, on or prior to the first business day after the date of this Amendment, file a Current Report on Form 8-K describing the terms of the transactions contemplated hereby in the form required by the 1934 Securities Exchange Act, as amended (the “ 1934 Act ”), and attaching this Amendment, to the extent it is required to be filed under the 1934 Act, as an exhibit to such filing (including all attachments, the “ 8-K Filing ”). From and after the filing of the 8-K Filing, the Company shall have disclosed all material, non-public information (if any) provided up to such time to the Holder by the Company or any of its Subsidiaries or any of their respective officers, directors, employees or agents. In addition, effective upon the filing of the 8-K Filing, the Company acknowledges and agrees that any and all confidentiality or similar obligations under any agreement with respect to the transactions contemplated by this Amendment or as otherwise disclosed in the 8-K Filing, whether written or oral, between the Company, any of its Subsidiaries or any of their respective officers, directors, affiliates, employees or agents, on the one hand, and any of the Holder or any of their affiliates, on the other hand, shall terminate.

 

[The remainder of the page is intentionally left blank]

 

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IN WITNESS WHEREOF, the undersigned Holder and the Company have executed this Amendment as of the date set forth on the first page of this Amendment.

 

 

COMPANY:

     
  HELIOS AND MATHESON ANALYTICS INC.
     
  By: /s/ Theodore Farnsworth
    Name: Theodore Farnsworth
    Title:   Chief Executive Officer

 

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IN WITNESS WHEREOF, the undersigned Holder and the Company have executed this Amendment as of the date set forth on the first page of this Amendment.

 

 

HOLDER:

     
  HUDSON BAY MASTER FUND LTD
     
  By: Hudson Bay Capital Management LP, its investment manager
     
  By: /s/ George Antonopoulos
    Name: George Antonopoulos
    Title:   Authorized Signatory

 

 

 

 

Exhibit A

 

 

Transfer Agent Instructions

 

J une 1, 2018

 

Computershare Trust Company, N.A.

462 South Fourth Street

Louisville, KY 40202

 

Re: Increase of Reserve Shares

 

Ladies and Gentlemen:

 

This instruction letter is delivered by Helios and Matheson Analytics Inc., a Delaware corporation (the “ Company ”), in connection with the shares of the Company’s common stock, par value $0.01 per share (the “ Common Stock ”), issuable upon the conversion of (i) senior bridge convertible notes in the aggregate principal amount of $5,000,000 (the “ Series A Notes ”); and (ii) senior secured bridge convertible notes in the aggregate principal amount of $95,000,000 (the “ Series B Notes ,” and together with the Series A Notes, the “ Notes ”). The Company delivered an instruction letter on November 7, 2017 to reserve 20,000,000 shares of Common Stock (the “ Reserve Shares ”) for issuance upon conversion of the Notes by the holders (the “ November 7, 2017 Letter ”). A copy of the November 7, 2017 Letter is attached hereto. The account number for the reserve established pursuant to the November 7, 2017 Letter is “R60”.

 

On May 30, 2018, the Company delivered an instruction letter to increase the amount of the Reserve Shares to 179,953,791 shares of Common Stock, effective immediately.

 

This letter constitutes a written instruction by the Company to further increase the amount of the Reserve Shares to a total of 203,814,886 shares of Common Stock, effective immediately.

 

[ Signature page follows ]

 

 

 

 

IN WITNESS WHEREOF, the Company has caused these Transfer Agent Instructions to be duly executed and delivered as of the date set forth above.

 

  COMPANY:
     
  HELIOS AND MATHESON ANALYTICS INC.
     
  By:  
    Stuart Benson
    Chief Financial Officer

 

 

 

 

Exhibit 10.2

 

AMENDMENT NO. 2

 

TO JANUARY SECURITIES PURCHASE AGREEMENT

 

AND CONVERTIBLE NOTES

 

This Amendment No. 2 to January Securities Purchase Agreement and Convertible Notes (this “ Amendment ”) is entered into as of June 1, 2018, by and between Helios and Matheson Analytics Inc., a Delaware corporation (the “ Company ”), and the investor signatory hereto (the “ Holder ”), with reference to the following:

 

A. Prior to the date hereof, pursuant to that Securities Purchase Agreement, dated as of January 11, 2018, by and between the Company and the Holder (the “ January Securities Purchase Agreement ”), the Company issued to the Holder, (i) senior subordinated convertible notes, in the aggregate original principal amount of $25 million, convertible into shares of Common Stock, in accordance with the terms thereof and (ii) senior secured convertible notes, in the aggregate original principal amount of $35 million, convertible into shares of Common Stock, in accordance with the terms thereof (together, the “ January Notes ”).

 

B. Pursuant to Section 4(w) of the January Securities Purchase Agreement, as amended by Amendment No. 1 to the January Securities Purchase Agreement, the Company covenants to, among other things, hold a special meeting of stockholders for approval of resolutions providing for the issuance of the Securities (comprised of the January Notes and the Conversion Shares) in accordance with Nasdaq Listing Rule 5635 by no later than June 1, 2018 (the “ Stockholder Meeting Deadline ”).

 

C. The Company and the Holder desire to extend the Stockholder Meeting Deadline until August 1, 2018.

 

D. The Holder, alone, constitutes the Required Holders as of the date of this Amendment.

 

E. Capitalized terms used but not defined in this Amendment shall have the meanings ascribed to them in the January Securities Purchase Agreement.

 

NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants hereinafter contained, the parties hereto agree as follows:

 

1. Amendment to Section 4(k) of the January Securities Purchase Agreement; Waiver . The amount “200%” set forth in Section 4(k) of the January Securities Purchase Agreement is hereby amended to be “100%” (equal to 3,407,654 shares of Common Stock (subject to proportionate adjustment for any stock split, dividend, stock combination, recapitalization or other similar transaction) as of the date of this Amendment), until the earlier of the Stockholder Approval Date (as amended pursuant to Section 2 of this Amendment) or the Stockholder Meeting Deadline (as amended pursuant to Section 2 of this Amendment), after which the number “100%” therein shall be amended to be “200%” automatically and without any further action on the parties to this Amendment required. The Holder hereby waives any Event of Default (as defined in the January Notes) that may have arisen on or prior to the date of this Amendment solely as a result of the Company failing to reserve the Required Reserve Amount (as in effect prior to this Amendment). The foregoing waiver shall not apply to any Event of Default occurring after the date of this Amendment.

 

 

 

 

2. Amendment to Section 4(w) of the January Securities Purchase Agreement . The first sentence of Section 4(w) of the January Securities Purchase Agreement is hereby amended and restated in its entirety as follows:

 

“The Company shall provide each stockholder entitled to vote at an annual or special meeting of stockholders of the Company (the “ Stockholder Meeting ”), which shall be promptly called and held not later than August 1, 2018 (the “ Stockholder Meeting Deadline ”), a proxy statement, in a form reasonably acceptable to the Buyers and Kelley Drye & Warren LLP, at the expense of the Company, with the Company obligated to reimburse the expenses of Kelley Drye & Warren LLP incurred in connection therewith, soliciting each such stockholder’s affirmative vote at the Stockholder Meeting for approval of resolutions (the “ Stockholder Resolutions ”) providing for the issuance of all of the Securities in accordance with Nasdaq Listing Rule 5635 (the “ Stockholder Approval ,” and the date the Stockholder Approval is obtained, the “ Stockholder Approval Date ”), and the Company shall use its reasonable best efforts to solicit its stockholders’ approval of such resolutions and to cause the Board of Directors of the Company to recommend to the stockholders that they approve such resolutions.

 

3. Amendment to Section 11(a) of January Notes . The amount “200%” set forth in Section 11(a) of the January Notes is hereby amended to be “100%” (equal to 3,407,654 shares of Common Stock (subject to proportionate adjustment for any stock split, dividend, stock combination, recapitalization or other similar transaction) as of the date of this Amendment), until the earlier of the Stockholder Approval Date (as amended by Section 2 of this Amendment) or the Stockholder Meeting Deadline (as amended by Section 2 of this Amendment), after which the number “100%” therein shall be amended to be “200%” automatically and without any further action on the parties to this Amendment required. The Holder hereby waives any Event of Default (as defined in the January Notes) that may have arisen on or prior to the date of this Amendment solely as a result of the Company failing to reserve the Required Reserve Amount (as in effect prior to this Amendment). The foregoing waiver shall not apply to any Event of Default occurring after the date of this Amendment.

 

4. Transfer Agent Instructions . The Company and the Holder hereby agree that the Irrevocable Transfer Agent Instructions shall be supplemented with a letter substantially in the form attached hereto as Exhibit A , which the Company shall execute and deliver to its transfer agent no later than the Business Day immediately following the date of this Amendment.

 

5. Current Issued and Outstanding and Reserved Shares . The Company hereby represents and warrants to the Holder that, (a) as of the date of this Amendment, the Company has 500,000,000 shares of Common Stock authorized, (ii) as of May 30, 2018, the Company had 153,927,839 shares of Common Stock issued and outstanding and an aggregate of 277,363,962 shares of Common Stock reserved for issuance pursuant to outstanding securities that are convertible into or exercisable for Common Stock and other obligations of the Company, after giving effect to this Amendment and Amendment No. 1 to the Securities Purchase Agreement, dated November 6, 2017, between the Company and the buyers signatory thereto, and the convertible notes issued pursuant thereto.

 

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6. Ratifications . Except as otherwise expressly provided herein, the January Securities Purchase Agreement and January Notes are, and shall continue to be, in full force and effect and are hereby ratified and confirmed in all respects.

 

7. Miscellaneous Provisions . Section 9 of the January Securities Purchase Agreement is hereby incorporated by reference herein, mutatis mutandis.

 

8. Disclosure of Transaction . The Company shall, on or before 8:30 a.m., New York City Time, on or prior to the first business day after the date of this Amendment, file a Current Report on Form 8-K describing the terms of the transactions contemplated hereby in the form required by the 1934 Securities Exchange Act, as amended (the “ 1934 Act ”), and attaching this Amendment, to the extent it is required to be filed under the 1934 Act, as an exhibit to such filing (including all attachments, the “ 8-K Filing ”). From and after the filing of the 8-K Filing, the Company shall have disclosed all material, non-public information (if any) provided up to such time to the Holder by the Company or any of its Subsidiaries or any of their respective officers, directors, employees or agents. In addition, effective upon the filing of the 8-K Filing, the Company acknowledges and agrees that any and all confidentiality or similar obligations under any agreement with respect to the transactions contemplated by this Amendment or as otherwise disclosed in the 8-K Filing, whether written or oral, between the Company, any of its Subsidiaries or any of their respective officers, directors, affiliates, employees or agents, on the one hand, and any of the Holder or any of their affiliates, on the other hand, shall terminate.

 

[The remainder of the page is intentionally left blank]

 

  3  

 

 

IN WITNESS WHEREOF, the undersigned Holder and the Company have executed this Amendment as of the date set forth on the first page of this Amendment.

 

  COMPANY:
   
  HELIOS AND MATHESON ANALYTICS INC.
   
  By: /s/ Theodore Farnsworth
    Name: Theodore Farnsworth
    Title:   Chief Executive Officer

 

 

 

 

IN WITNESS WHEREOF, the undersigned Holder and the Company have executed this Amendment as of the date set forth on the first page of this Amendment.

 

  HOLDER:
   
  HUDSON BAY MASTER FUND LTD
   
  By: Hudson Bay Capital Management LP, its investment manager
     
  By: /s/ George Antonopoulos
    Name: George Antonopoulos
    Title:   Authorized Signatory

 

 

 

 

Exhibit A

 

 

Transfer Agent Instructions

 

June 1, 2018

 

Computershare Trust Company, N.A.

462 South Fourth Street

Louisville, KY 40202

 

Re: Decrease of Reserve Shares

 

Ladies and Gentlemen:

 

This instruction letter is delivered by Helios and Matheson Analytics Inc., a Delaware corporation (the “ Company ”), in connection with the shares of the Company’s common stock, par value $0.01 per share (the “ Common Stock ”), issuable upon the conversion of (i) Series A-1 senior subordinated convertible notes in the aggregate principal amount of $25,000,000 (the “ Series A Notes ”); and (ii) Series B-1 senior secured convertible notes in the aggregate principal amount of $35,000,000 (the “ Series B Notes ,” and together with the Series A Notes, the “ Notes ”). The Company delivered an instruction letter on January 23, 2018 to reserve 5,244,756 shares of Common Stock (the “ Reserve Shares ”) for issuance upon conversion of the Notes by the holders (the “ January 23, 2018 Letter ”). A copy of the January 23, 2018 Letter is attached hereto for your reference. The account number for the reserve established pursuant to the January 23, 2018 Letter is “R78”.

 

This letter constitutes a written instruction by the Company to decrease the amount of the Reserve Shares to 3,407,654 shares of Common Stock, effective immediately.

 

[ Signature page follows ]

 

 

IN WITNESS WHEREOF, the Company has caused these Transfer Agent Instructions to be duly executed and delivered as of the date set forth above.

 

  COMPANY:
   
  HELIOS AND MATHESON ANALYTICS INC.
     
  By:  
    Stuart Benson
    Chief Financial Officer