American Rebel Raises $135K via Toxic Convertible Note, Issues 500K Shares to Silverback
AREBW has more than doubled off its 52-week low of $0.001.
Summary
American Rebel secured $121,500 in net proceeds from a convertible note with GS Capital Partners, featuring a 75% discount conversion price, and issued 500,000 shares to Silverback Capital. The toxic terms and ongoing dilution highlight extreme financial strain.
Key Events · Financing and Capital Events · AREBW
-
New Toxic Convertible Note
Issued a $135,000 convertible note to GS Capital Partners, netting $121,500 after a $13,500 original issue discount and $5,000 in legal fees. The note converts at 75% of the lowest trading price over the 5 days prior to conversion, a deeply dilutive structure.
-
Commitment Shares Issued
Issued 59,000 shares to GS Capital Partners as a commitment fee, valued at $0.20 per share, adding immediate dilution.
-
Silverback Capital Share Issuance
Issued 500,000 shares to Silverback Capital Corporation on August 6, 2026, representing a payment of approximately $65,700, further diluting existing shareholders.
-
Reserved Shares for Conversion
The company must reserve 3,701,799 shares for potential conversion of the note, which at the current stock price of $0.003 could represent massive dilution if the note is converted.
Analysis · AREBW · Manufacturing
American Rebel continues its pattern of high-cost, deeply dilutive financing. The new $135,000 convertible note with GS Capital Partners carries a 75% discount to the lowest 5-day trading price, meaning conversion could flood the market with shares at a fraction of the current $0.003 price. The company also issued 500,000 shares to Silverback Capital for ~$65,700, further diluting existing holders. With a market cap of only $3.66M and a stock price near zero, these transactions signal severe cash distress and a willingness to accept punitive terms that could crush remaining shareholder value.
At the time of this filing, AREBW was trading at $0.00 on OTC in the Manufacturing sector, with a market capitalization of approximately $3.7M. The 52-week trading range was $0.00 to $0.05. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.