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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

 

Date of report (Date of earliest event reported): February 18, 2025

 

GLOBAL INTERACTIVE TECHNOLOGIES, INC.
(Exact Name of Registrant as Specified in Its Charter)

 

Delaware   001-41763   88-1368281
(State or other Jurisdiction
of Incorporation)
  (Commission File Number)   (IRS Employer
Identification No.)

 

160, Yeouiseo-ro, Yeongdeungpo-gu
Seoul, Republic of Korea
  07231
(Address of Principal Executive Offices)   (Zip Code)

 

Registrant’s telephone number, including area code: +82-2564-8588

 

     
  (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 obligation of the registrant under any of the follow 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   Name of each exchange on which registered
Common Stock, par value $0.001 per share   GITS   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 February 18, 2025, Global Interactive Technologies, Inc. (the “Company”) entered into a Promissory Note (the “February 2025 Note”) payable to PixelArc, LLC (“PixelArc”), a California limited liability company in which Amy Xianglin Shi, a director of the Company, holds a direct ownership interest and serves in a managerial capacity. The February 2025 Note evidences a loan of $86,660 extended by PixelArc to support essential operating obligations during a period of limited liquidity. The note accrues interest at 8% per annum, has a maturity date of March 14, 2026, and includes a 5% late fee and 12% default interest rate, along with customary default provisions.

 

On April 18, 2025, the Company executed a second Promissory Note (the “April 2025 Note”) payable to PixelArc, evidencing a short-term, interest-free loan of $86,000 used to satisfy outstanding Nasdaq listing fees and maintain the Company’s continued listing. The note matured on May 15, 2025, and contains the same late fee and default interest terms as the February 2025 Note. In connection with the April 2025 Note, the Company also entered into a Security Agreement, dated April 18, 2025 (the “Security Agreement”), with PixelArc to secure repayment obligations under both Notes.

 

Following nonpayment of the April 2025 Note, PixelArc became entitled to exercise its rights under the Security Agreement. On May 19, 2025, PixelArc submitted a proposal to convert its outstanding loan balances into equity. On May 20, 2025, PixelArc delivered a formal Notice of Conversion to the Company, pursuant to which the combined $172,666 in principal under the February and April 2025 Notes will be converted into 246,666 shares of the Company’s common stock at a price of $0.70 per share. While the conversion price was below the fair market value of the Company’s common stock, the transaction was structured to enhance the Company’s financial flexibility and does not constitute equity compensation for Ms. Shi in her capacity as a director.

 

The February 2025 Note, April 2025 Note, and Security Agreement were submitted to and approved by the Company’s Board of Directors, including disinterested members. The debt-to-equity conversion proposal was subsequently circulated to the Board for review and received unanimous support without objection. The Board acknowledged that, under the Company’s circumstances, the transactions served the best interests of the Company and its shareholders by addressing immediate financial obligations in a responsible manner.

 

In connection with the conversion, PixelArc expressly reserved the right to receive equivalent or superior terms, including, but not limited to, warrants or other equity-linked securities, on terms no less favorable than those offered to similarly situated investors in capital transactions occurring between February 2025 and December 2025. PixelArc also reserved the right to board-level participation, including the designation of a non-voting observer or equivalent strategic consultation rights, for so long as it directly or indirectly holds 5% or more of the Company’s outstanding equity securities. These rights were expressly reserved in the Notice of Conversion and are to be implemented in accordance with the Company’s applicable governance procedures.

 

The foregoing descriptions of the February 2025 Note, April 2025 Note, Security Agreement, and Notice of Conversion are qualified in their entirety by reference to the full text of such documents, copies of which are filed as Exhibits 10.1 through 10.4 to this Current Report on Form 8-K and incorporated herein by reference.

 

As of the date of this filing, the stock issuance under the Notice of Conversion has not yet been completed.

 

1


 

Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

 

The information set forth above in Item 1.01 of this Current Report on Form 8-K is incorporated by reference herein.

 

Item 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.

 

The information set forth above in Item 1.01 of this Current Report on Form 8-K is incorporated by reference herein.

 

Item 3.02 Unregistered Sales of Equity Securities.

 

The information set forth above in Item 1.01 of this Current Report on Form 8-K is incorporated by reference herein. The notes described in this Current Report on Form 8-K were offered and issued to PixelArc in reliance upon exemption from the registration requirements under Section 4(a)(2) under the Securities Act of 1933, as amended.

 

Item 9.01 Financial Statements and Exhibits.

 

(a) Exhibits.

 

Exhibit No.   Description
10.1   Promissory Note, dated February 18, 2025, by the Company in favor of PixelArc.
10.2   Promissory Note, dated April 18, 2025, by the Company in favor of PixelArc.
10.3   Security Agreement, dated April 18, 2025, between the Company and PixelArc.
10.4   Notice of Conversion, dated May 20, 2025, between the Company and PixelArc.
104   Cover Page Interactive Data (embedded within the Inline XBRL document).

 

2


 

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.

 

  GLOBAL INTERACTIVE TECHNOLOGIES, INC.
   
Dated: May 22, 2025 By: /s/ Taehoon Kim
    Name:   Taehoon Kim
    Title:  Chief Executive Officer

 

3

EX-10.1 2 ea024322401ex10-1_globalint.htm PROMISSORY NOTE, DATED FEBRUARY 18, 2025, BY THE COMPANY IN FAVOR OF PIXELARC

Exhibit 10.1

 

PROMISSORY NOTE

 

Effective Date: February 18, 2025

Total Loan Amount: $86,666.00

Interest Rate: 8% per annum

Maturity Date: March 14, 2026

 

This Promissory Note (“Note”) is made and entered into as of February 18, 2025, by and between:

 

1. Global Interactive Technologies, INC (“Borrower” or “GITS”), a corporation organized under the laws of the State of Delaware, with its principal place of business at 160 Yeoeuiseo-ro, Yeongdeungpo-gu, Seoul, Korea; and

 

2. PixelArc LLC (“Lender” or “PixelArc”), a limited liability company organized under the laws of the State of California, with its principal place of business at 950 N Kings Rd #218, West Hollywood, CA 90069.

 

1. Loan Amount & Disbursement

 

Lender has agreed to lend Borrower a total of Eighty-Six Thousand Six Hundred Sixty-Six Dollars ($86,666.00) in two separate disbursements:

 

First Disbursement: $26,666.00 sent on February 18, 2025

 

Second Disbursement: $60,000.00 to be sent on or about March 14, 2025

 

The total principal amount of this loan is $86,666.00, subject to the terms and conditions set forth in this Note.

 

2. Interest & Repayment Terms

 

a. Interest Rate: The outstanding principal shall accrue interest at a fixed rate of eight percent (8.00%) per annum, calculated on a 365-day year basis.

 

b. Maturity Date: The entire outstanding principal amount, together with accrued and unpaid interest, shall be due and payable on March 14, 2026 (the “Maturity Date”).

 

c. Repayment Method: Borrower shall repay the total loan amount, including interest, in one lump-sum payment on or before the Maturity Date, unless otherwise agreed upon by both parties in writing.

 

d. Prepayment: Borrower may prepay any portion of the principal or interest without penalty. Any prepayment shall first be applied to accrued interest, then to principal.

 


 

3. Late Payment, Default & Remedies

 

a. Late Payment Fee: If Borrower fails to make payment on the Maturity Date, Borrower shall incur a late fee equal to 5% of the unpaid balance. Additionally, unpaid amounts shall accrue default interest at 12% per annum from the date of default until full repayment.

 

b. Events of Default: The following shall constitute an “Event of Default”:

 

i. Borrower fails to make any payment due under this Note within ten (10) days of its due date.

 

ii. Borrower becomes insolvent, files for bankruptcy, or ceases operations.

 

iii. Borrower breaches any material term of this Note and fails to cure such breach within ten (10) business days after receiving written notice from Lender.

 

c. Acceleration: Upon an Event of Default, Lender may declare all outstanding principal and accrued interest immediately due and payable.

 

d. Costs of Collection: If this Note is placed in the hands of an attorney or collection agency, Borrower agrees to pay all reasonable legal fees, court costs, and collection expenses incurred by Lender.

 

4. Governing Law & Jurisdiction

 

This Note shall be governed by and construed in accordance with the laws of the State of California, without regard to its conflict of law principles. Any disputes shall be resolved exclusively in the state or federal courts located in Los Angeles County, California, and the parties consent to the jurisdiction of such courts.

 

5. Miscellaneous

 

a. No Waiver: Lender’s failure to enforce any provision of this Note shall not be deemed a waiver of its rights.

 

b. Amendments: Any modifications must be in writing and signed by both parties.

 

c. Severability: If any provision is found to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

 

6. Entire Agreement

 

This Note constitutes the entire agreement between the parties regarding the subject matter and supersedes all prior agreements.

 

2


 

IN WITNESS WHEREOF, the parties hereto have executed this Promissory Note as of the Effective Date.

 

BORROWER:  
     
Global Interactive Technologies, INC  
     
By: /s/ Taehoon Kim  
Name: Taehoon Kim  
Title: CEO  
Date: February 18th, 2025  

 

LENDER:
     
PixelArc LLC  
     
By: /s/ Amy Shi  
Name: Amy Shi  
Title: CEO  
Date: February 18th, 2025  

 

3

 

EX-10.2 3 ea024322401ex10-2_globalint.htm PROMISSORY NOTE, DATED APRIL 18, 2025, BY THE COMPANY IN FAVOR OF PIXELARC

Exhibit 10.2

 

PROMISSORY NOTE

 

Effective Date: April 18, 2025

 

Principal Amount: $86,000.00

 

Maturity Date: May 15, 2025

 

This Promissory Note (“Note”) is entered into by and between:

 

Lender:

 

PixelArc LLC

 

A California limited liability company

 

950 N Kings Rd #218, West Hollywood, CA 90069

 

Borrower:

 

Global Interactive Technologies, Inc.

 

A Delaware corporation

 

160 Yeoeuiseo-ro, Yeongdeungpo-gu, Seoul, Korea

 

1. Loan and Use of Funds

 

Lender agrees to loan Borrower the principal amount of Eighty-Six Thousand U.S. Dollars ($86,000.00). The funds are being provided to enable Borrower to make its required payment to the NASDAQ Stock Market LLC. The Lender shall pay this amount directly to NASDAQ on behalf of Borrower.

 


 

2. Interest and Payment Terms

 

- Interest-Free Period: No interest will accrue if the full amount is repaid on or before May 15, 2025.

 

- Default Interest: If any amount remains unpaid after May 15, 2025, interest shall accrue on the unpaid principal at a rate of twelve percent (12%) per annum, compounded monthly, from May 16, 2025 until fully repaid.

 

- Late Fee: A one-time late payment fee equal to 5% of the unpaid principal will be applied if Borrower fails to pay by the Maturity Date.

 

- Repayment: One lump-sum payment of the full principal (and any interest, if applicable) is due on or before the Maturity Date.

 

- Prepayment: Borrower may prepay any amount at any time without penalty.

 

3. Default and Remedies

 

- Failure to pay the Note on time constitutes an Event of Default.

 

- Upon default, Lender may accelerate repayment, require immediate payment of all sums due, and enforce any collateral rights under the related Security Agreement.

 

4. Governing Law

 

This Note shall be governed by the laws of the State of California. Disputes shall be adjudicated in Los Angeles County, California.

 

5. Entire Agreement

 

This Note constitutes the full and final understanding of the parties.

 

2


 

IN WITNESS WHEREOF, the parties have executed this Note as of the Effective Date.

 

BORROWER:  
     
Global Interactive Technologies, Inc.  
     
By: /s/ Taehoon Kim  
Name: Taehoon Kim  
Title: CEO  
Date: Apr. 18, 2025  

 

LENDER:
   
PixelArc LLC
     
By: /s/ Amy Shi  
Name: Amy Shi  
Title: CEO  
Date: 04/18/2025  

 

3

 

EX-10.3 4 ea024322401ex10-3_globalint.htm SECURITY AGREEMENT, DATED APRIL 18, 2025, BETWEEN THE COMPANY AND PIXELARC

Exhibit 10.3

 

SECURITY AGREEMENT

 

Effective Date: April 18, 2025

 

This Security Agreement (“Agreement”) is made by and between:

 

Debtor:

 

Global Interactive Technologies, Inc. (“GITS”), a Delaware corporation

 

Secured Party:

 

PixelArc LLC, a California limited liability company (“PixelArc”)

 

---

 

1. Grant of Security Interest

 

To secure Borrower’s obligations under the Promissory Note dated April 18, 2025 in the amount of $86,000 (the “Note”), and the prior Promissory Note dated February 18, 2025 in the amount of $86,666, Debtor grants to Secured Party a first-priority security interest in the following collateral:

 

Collateral:

 

All intellectual property currently used by GITS in connection with its business operations, including but not limited to:

- Proprietary software, designs, trademarks, source code, and supporting documentation;

 

- Copyrights and copyright registrations;

 

- Trademarks and service marks (registered and unregistered);

 

- Patent applications and patents (if any);

 

- Trade secrets, know-how, and technical documentation;

 

- Any improvements, proceeds, and derivatives thereof.

 


 

 

This includes intellectual property informally contributed by individuals historically affiliated with GITS, over which the Company has established business use.

 

Purpose of Loan

 

The parties acknowledge that the loans secured by this Agreement, including the April 2025 loan and the February 2025 loan, were extended in connection with the Company’s urgent need to maintain compliance with NASDAQ listing requirements and to cover critical audit and regulatory expenses necessary for continued public company operations. The Company agrees that preservation of its listing status and regulatory good standing materially benefit the Company, its shareholders, and all creditors, including PixelArc LLC.

 

2. Representations and Covenants

 

- GITS acknowledges that certain elements of the IP are not formally owned by the Company and are being used under a conditional and revocable right, subject to the terms of this Agreement.

 

- Upon default, GITS’s right to use any of the Collateral shall automatically terminate without notice, and the Secured Party shall have the right to take any legal or equitable action to prevent further use or misappropriation, including injunctive relief.

 

- Debtor shall not sell, transfer, or assign any rights in the Collateral without Secured Party’s prior written consent.

 

- Upon default, Secured Party may file a UCC-1 and take possession or enforce control over the Collateral.

 

3. Default and Remedies

 

Definition of Material Default

 

For the purposes of this Agreement, a “material default” shall include, but not be limited to:

 

- Failure to repay any portion of the principal or interest under the Notes when due;

 

- Suspension or delisting of the Company’s securities from NASDAQ or any national exchange;

 

- Commencement of any bankruptcy, insolvency, or liquidation proceedings by or against the Company;

 

- Failure to maintain the Company’s right to use the Collateral or the Company’s attempt to transfer or encumber such rights without consent;

 

- Any material breach by the Company of its covenants or representations under this Agreement or the Notes that remains uncured for ten (10) business days following written notice from PixelArc.

 

2


 

- In the event of a material default, PixelArc LLC shall have the right, but not the obligation, to convert the outstanding balance of either Note into equity of the Company at a valuation and terms mutually agreed by the parties, or to appoint one observer or non-voting member to the Board of Directors.

 

- The Company agrees to reimburse the Secured Party for all reasonable costs and expenses, including attorneys’ fees, incurred in enforcing its rights under this Agreement.

 

Upon default under either Note:

 

- Secured Party may accelerate repayment and demand immediate satisfaction of all amounts due;

 

- Secured Party may pursue all legal and equitable remedies including foreclosure of the Collateral;

 

- Any further use of the IP by GITS shall be deemed unauthorized and subject to legal action.

 

Non-Waiver of IP Ownership

 

Nothing in this Agreement shall be construed as a waiver or assignment of any intellectual property rights owned by third parties or affiliates of the Secured Party, or shall it create a license to the Company beyond the limited use acknowledged herein.

 

4. Governing Law

 

This Agreement shall be governed by the laws of the State of California.

 

---

 

3


 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.

 

DEBTOR:  
     
Global Interactive Technologies, Inc.  
     
By: /s/ Taehoon Kim  
Name: Taehoon Kim  
Title: CEO  
Date: Apr. 18, 2025  

 

SECURED PARTY:  
     
PixelArc LLC  
     
By: /s/ Amy Shi  
Name: Amy Shi  
Title: CEO  
Date: 04/18/2025  

 

4

 

EX-10.4 5 ea024322401ex10-4_globalint.htm NOTICE OF CONVERSION, DATED MAY 20, 2025, BETWEEN THE COMPANY AND PIXELARC

Exhibit 10.4

 

PIXELARC LLC

Notice of Election to Convert Secured Loans to Equity

 

Date: May 20, 2025

 

To: Board of Directors

Global Interactive Technologies, Inc. (“GITS”)

 

From: PixelArc LLC

 

RE: Election to Convert Outstanding Secured Loan Obligations Pursuant to Promissory Notes and Security Agreement

 

PixelArc LLC (“PixelArc”), a secured creditor of Global Interactive Technologies, Inc. (“GITS” or the “Company”), hereby provides formal written notice of its election to convert certain indebtedness owed by the Company into equity securities, in accordance with the terms of that certain Promissory Note dated February 18, 2025, the Promissory Note dated April 18, 2025, and the associated Security Agreement dated April 18, 2025 (collectively, the “Loan Agreements”).

 

The total principal subject to this conversion is $172,666, representing the full outstanding principal balance of the two aforementioned short-term secured loans—$86,666 under the February Note and $86,000 under the April Note.

 

As of the date of this Notice: -

 

The April Note has matured (May 15, 2025) and is in payment default. -

 

The February Note remains outstanding and not yet matured; however, PixelArc elects to convert the full loan balance at this time pursuant to its rights under the Security Agreement and the terms outlined in the Equity Conversion Proposal dated May 19, 2025, which received approval from the Company’s Board of Directors.

 

Pursuant to the Proposal, and consistent with the Company’s prior board-approved share issuances, PixelArc hereby elects to convert the outstanding principal into 246,666 shares of GITS common stock, based on a conversion price of $0.70 per share.

 

 


 

Reservation of Rights and Related Terms

 

PixelArc reserves the following rights in full and without waiver:

 

1. The right to receive equivalent or superior terms, including but not limited to warrants or other equity-linked securities, on terms no less favorable than those offered to similarly situated investors in connection with recent or forthcoming capital transactions, for the period from February 2025 through December 2025. PixelArc anticipates that this may include warrant coverage in the same proportion to the shares issued as granted to other investors.

 

2. The right to board-level participation, including the designation of a non-voting board observer or equivalent strategic consultation rights, for so long as PixelArc directly or indirectly holds 5% or more of the Company’s outstanding equity securities.

 

3. The right to collect any unpaid interest, late fees, or other charges accrued under the Loan Agreements that are not expressly converted by this Notice.

 

4. The right to enforce all remedies available under the Loan Agreements and the Security Agreement in the event that the Company fails to timely issue the shares as set forth herein or otherwise breaches its obligations.

 

For the avoidance of doubt, PixelArc considers interest on the converted principal to accrue until the effective date on which the common stock is legally issued and entered into the Company’s stock ledger, at which point the converted portion shall be deemed fully satisfied in principal.

 

Conclusion

 

This Notice is delivered in good faith as part of a cooperative resolution of outstanding obligations and to support the stabilization of the Company’s capital structure. PixelArc respectfully requests that the Company confirm receipt of this Notice and provide written acknowledgment of the expected timeline for share issuance.

 

Respectfully submitted,

 

 

 

Amy Shi

 

Chief Executive Officer

 

PixelArc LLC