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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

September 27, 2021

Date of Report (Date of earliest event reported)

 

HTG Molecular Diagnostics, Inc.

(Exact name of registrant as specified in its charter)

 

 

Delaware

 

001-37369

 

86-0912294

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

 

3430 E. Global Loop

Tucson, AZ

 

85706

(Address of principal executive offices)

 

(Zip Code)

Registrant’s telephone number, including area code: (877) 289-2615

N/A

(Former name or former address, if changed since last report.)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions:

 

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 CFR 240.14a-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 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

 

 

 

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange

on which registered

Common Stock, $0.001 par value per share

 

HTGM

 

The Nasdaq Stock Market LLC

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 a Material Definitive Agreement.

On September 27, 2021, HTG Molecular Diagnostics, Inc. (the “Company”) entered into a Third Amendment to its Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated July 11, 2008, with Pegasus Properties L.P. (the “Suite 300 Lease”), related to the Company’s corporate facilities located at 3430 E. Global Loop, Suite 300, Tucson, Arizona 86706 (the “Third Amendment”).  

On September 27, 2021, the Company also entered into a Fourth Amendment to its Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated May 11, 2011, with Pegasus Properties L.P. (the “Suite 100 Lease”), related to the Company’s corporate facilities located at 3400 E. Global Loop, Suite 100, Tucson, Arizona 86706 (the “Fourth Amendment”).

Pursuant to the Third Amendment, the term of the Suite 300 Lease was extended for a period of three years to January 31, 2025. The monthly base rent under the Suite 300 Lease for the period from February 1, 2022 through January 31, 2025 will be $15,735 per month. The Company will have an option to renew the Suite 300 Lease for an additional two year period on the same terms and conditions as the existing Suite 300 Lease, as amended by the Third Amendment, except that lease rates would be adjusted to rates applicable to like-kind buildings within the market at the time the Company elects to exercise the extension option, but in no event to less than the last applicable rental rate.

Pursuant to the Fourth Amendment, the term of the Suite 100 Lease was extended for a period of three years to January 31, 2025. The monthly base rent under the Suite 100 Lease for the period from February 1, 2022 through January 31, 2025 will be $24,500 per month. The Company will have an option to renew the Suite 100 Lease for an additional two year period on the same terms and conditions as the existing Suite 100 Lease, as amended by the Fourth Amendment, except that lease rates would be adjusted to rates applicable to like-kind buildings within the market at the time the Company elects to exercise the extension option, but in no event to less than the last applicable rental rate.

The foregoing summaries of the Third Amendment and Fourth Amendment do not purport to be complete descriptions of these documents, and are qualified in their entirety by the Third Amendment and Fourth Amendment, copies of which are filed as Exhibits 10.1 and 10.2 to this report.

 

Item 9.01Financial Statements and Exhibits.

(d) Exhibits

Exhibit Number

 

Description

10.1

 

Third Amendment, dated September 27, 2021, to Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated July 11, 2008, between the Company and Pegasus Properties L.P.

 

10.2

 

Fourth Amendment, dated September 27, 2021, to Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated May 11, 2011, between the Company and Pegasus Properties L.P.

 

104

 

The cover page of this report has been formatted in Inline XBR

 


 

 

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.

 

 

 

HTG Molecular Diagnostics, Inc.

 

 

 

 

 

Dated: September 29, 2021

 

By:

 

/s/ Shaun D. McMeans

 

 

 

 

Shaun D. McMeans

 

 

 

 

SVP and Chief Financial Officer

 

 

Exhibit 10.1

 

THIRD AMENDMENT TO LEASE AGREEMENT

(Suite 300 - Laboratory)

 

This Third Amendment to Lease Agreement (“Amendment”) is dated to be effective as of the 27 day of September 2021 (“Effective Date”), by and between Pegasus Properties, L.P., a Wisconsin limited partnership (“Lessor”), and HTG Molecular Diagnostics, Inc., a Delaware corporation, formerly known as High Throughput Genomics, Inc. (“Lessee”).

 

RECITALS

 

            A.      Lessor and Lessee entered that certain Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated July 11, 2008 (the “Suite 300 Lease”), pursuant to which Lessor leases to Tenant approximately 12,600 square feet of office/warehouse/light manufacturing/R&D space (“Suite 300 Premises”) in that certain building that is commonly known as 3430 E. Global Loop, Suite 300, Tucson, Arizona 86706, as more particularly described in the Suite 300 Lease.

 

             B.     On August 4th, 2015 Lessor and Lessee entered into the First Amendment to the Suite 300 Lease Agreement extending the Lease by approximately 5 years among other agreements.

 

            C.     On December 8th, 2020 Lessor and Lessee entered into the Second Amendment to the Suite 300 Lease Agreement extending the Lease by approximately 1 year among other agreements.

 

D.For reference purposes only, Lessor and Lessee also entered into that certain Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated May 11, 2011 (as it may be amended on or around the Effective Date, the “Suite 100 Lease”), pursuant to which Lessor leases to Lessee approximately 17,500 square feet of office and warehouse space (“Suite 100 Premises”) in that certain building that is commonly known as 3400 E. Global Loop, Suite 100, Tucson, Arizona 86706, as more particularly described in the Suite 100 Lease. The Suite 100 Lease was subsequently amended with the Third Amendment, dated       December 8th, 2020 adding approximately 7,000 square feet (Suite 200) to Suite 100 for a total of approximately 24,500 square feet and extending the Term to January 31st, 2022.

The parties acknowledge that the Suite 100 Lease constitutes a separate legal obligation from the Suite 300 Lease for all purposes except as expressly set forth herein.

 

E.Lessor and Lessee now desire to, among other things, extend the lease term, and amend the option to renew the Suite 300 Lease.

 

F.All capitalized terms used but not otherwise defined herein shall have the meanings assigned to such terms in the Suite 300 Lease.

 

 

Now therefore, in consideration of the covenants and obligations contained herein, Lessor and Lessee agree as follows:

 

 

 

 

 

 


 

 

 

AGREEMENTS

 

1.Recitals. The Recitals above are true and correct and form a part of this Amendment.

 

2.Extension of Term.  The Term of the Suite 300 Lease is hereby extended for a period of three (3) years, commencing on February 1st, 2022, and expiring at 11:59 PM, Arizona time, on January 31st, 2025 which will also be referred to as the Expiration Date referred to in the Suite 300 Lease, subject to further renewal options as set forth in Section 2 below.

 

            3.   Renewal Options.  Section 3.2 of the Suite 300 Lease is replaced, and will read in its entirety, as follows:  Lessee shall have one option to renew the Suite 300 Lease for an additional period of two (2) years upon the same terms and conditions of the Suite 300 Lease as amended herein (“Renewal Term”), except that the Lease Rate will be set at rates currently applicable for like/kind buildings within the market but in no event less than the last effective rent rate (including annual increases if any) paid by Lessee. If Lessee elects to exercise such option to renew, Lessee shall give Lessor written notice of exercise of the option not later than June 30th, 2024.

 

4.Base Rent.

 

(a)Notwithstanding anything in the Suite 300 Lease to the contrary, commencing on February 1st, 2022 and continuing to January 31st, 2025 the monthly base rent for the Suite 300 Premises shall be Fifteen Thousand Seven Hundred Thirty Five and no/100 dollars ($15,735.00), payable in accordance with the terms and conditions of the Suite 300 Lease, as amended in the First and Second Amendments and pursuant to this Amendment.

 

 

5.No Other Changes.  Except as modified herein and in the First and Second Lease

Amendments, all terms and conditions of the Suite 300 Lease shall remain unchanged and in full

force and effect.

 

 

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IN WITNESS WHEREOF the parties have caused their respective duly authorized representatives to execute this Amendment as of the Effective Date.

 

LESSOR:

 

Pegasus Properties, L.P.

 

 

By:/s/ Matt Schmidt

Matt Schmidt

Managing Partner

LESSEE:

 

HTG Molecular Diagnostics

 

 

By:/s/ Shaun McMeans

Shaun McMeans

Chief Financial Officer

 

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Exhibit 10.2

FOURTH AMENDMENT TO LEASE AGREEMENT

SUITE 100 LEASE

 

This fourth Amendment to Lease Agreement (“Amendment”) is dated to be effective as of the 27 day of September, 2021 (“Effective Date”), by and between Pegasus Properties, L.P., a Wisconsin limited partnership (“Lessor”), and HTG Molecular Diagnostics, Inc., a Delaware corporation, formerly known as High Throughput Genomics, Inc. (“Lessee”).

 

RECITALS

 

A.Lessor and Lessee entered that certain Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated May 11, 2011 (as assigned by MSW Inc., a Wisconsin Corporation and as amended by that First Amendment to Lease Agreement on August 4, 2015, the “Suite 100 Lease”), pursuant to which Lessor leases to Tenant approximately 17500 square feet of office/warehouse/light manufacturing/R&D space (“Suite 100 Premises”) in that certain building that is commonly known as 3400 E. Global Loop, Suite 100, Tucson, Arizona 86706, as more particularly described in the Suite 100 Lease.

 

B.For reference purposes only, Lessor and Lessee also entered into that certain Standard Commercial-Industrial Multi Tenant Triple Net Lease, dated July 11th 2008 (and as amended by that First Amendment to Lease Agreement on August 4, 2015 and the Second Amendment dated on December 8th, 2020, specific to Suite 300, the “Suite 300 Lease”) pursuant to which Lessor leases to Lessee approximately 12,600 square feet of office/warehouse/light manufacturing/R&D space (“Suite 300 Premises”) in that certain building that is commonly known as 3430 E. Global Loop, Suite 100, Tucson, Arizona 86706, as more particularly described in the Suite 300 Lease.  The parties acknowledge that the Suite 300 Lease constitutes a separate legal obligation from the Suite 100 Lease for all purposes except as expressly set forth herein.

 

C.The Second Amendment as of January 28th, 2019 to the Suite 100 Lease added approximately 7,000 square feet of office/warehouse/light manufacturing/R&D space (Suite 200), to the Suite 100 Lease and addressed certain improvements to be constructed by Lessee in the Suite 200 Premises.

 

D. The Third Amendment as of December 8, 2020 to the Suite 100 Lease extended the Term of the Suite 100 Lease until January 31st, 2022.

 

E.         Lessor and Lessee now desire to, among other things, extend the lease term, and amend the option to renew the Suite 100 Lease.

 

F.All capitalized terms used but not otherwise defined herein shall have the meanings assigned to such terms in the Suite 100 Lease.

 

Now therefore, in consideration of the covenants and obligations contained herein, Lessor and Lessee agree to amend the Suite 100 Lease as follows:

 

 

 

 


 

 

 

 

 

 

 

AGREEMENTS

 

1.Recitals. The Recitals above are true and correct and form a part of this Amendment.

 

2.Extension of Term.  The Term of the Suite 100 Lease is extended until 11:59 PM, Arizona time, on January 31st, 2025, which will also be referred to as the Expiration Date referred to in the Suite 100 Lease, subject to the renewal options discussed below.

 

3.Renewal Options.  Section 3.2 of the Suite 100 Lease is replaced, and will read in its entirety, as follows:  Lessee shall have one option to renew the Suite 100 Lease for an additional period of two (2) years upon the same terms and conditions of the Suite 100 Lease  as amended herein (“Renewal Term”), except that the Lease Rate will be set at rates currently applicable for like/kind buildings within the market but in no event less than the last effective rent rate (including annual increases if any) paid by Lessee. If Lessee elects to exercise such option to renew, Lessee shall give Lessor written notice of exercise of the option not later than June 30th, 2024.

 

4.Base Rent and Term for Suite 200. Commencing on February 1st, 2022, and continuing through January 31st, 2025 unless otherwise extended pursuant to the terms of the Suite 100 Lease and this Amendment, Lessee will pay Lessor monthly base rent for the Suite 100) Premises (approximately 24,500 square feet) equal to twenty four thousand five hundred and no/100 dollars ($24,500.00), payable in accordance with the terms and conditions of the Suite 100 Lease.

 

              5.         Lessee Improvements. Under item 7 of the Second Amendment Lessee is entitled to a maximum of $100,000 (less amounts already spent) of Suite 200 improvements amortized over 5 years at an interest rate of 5%, provided that Lessee initiates such improvements and notifies Landlord of their nature and cost at least 30 days prior to starting a modification or alteration. The amount actually paid by Landlord for the Suite 200 Improvements will be paid to Landlord as additional Suite 100 Rent in equal monthly payments beginning on the first full month after the Suite 200 Improvements are completed. Should Lessee terminate the Suite 100 Lease at any time before the Expiration Date or choose to not renew the Suite 100 Lease within the timeframe permitted, the unpaid balance of Suite 200 Improvements not repaid to Lessor as additional rent (less interest) will be due to Lessor within 15 days of termination of the Suite 100 Lease.

 

5.No Other Changes. Except as modified herein and in the Third Lease Amendment, all terms and conditions of the Suite 100 Lease shall remain unchanged and in full force and effect.

 

 

 

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IN WITNESS WHEREOF the parties have caused their respective duly authorized representatives to execute this Amendment as of the Effective Date.

 

LESSOR:

 

Pegasus Properties, L.P.

 

 

By:/s/ Matt Schmidt

Matt Schmidt

Managing Partner

LESSEE:

 

HTG Molecular Diagnostics

 

 

By:/s/ Shaun McMeans

Shaun McMeans

Chief Financial Officer

 

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