Evofem Biosciences Taps HUB Cyber Security for $706K Subordinated Note as Liquidity Tightens
EVFM has more than doubled off its 52-week low of $0.001.
Summary
Evofem Biosciences entered into a $706,304 subordinated promissory note with HUB Cyber Security, using the funds to pay suppliers for its key products. The high-cost debt adds to existing liquidity pressures and includes restrictive covenants.
Key Events · Financing and Capital Events · EVFM
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Subordinated Note Issued
On July 8, 2026, Evofem issued a $706,304 subordinated promissory note to HUB Cyber Security, bearing 12% annual interest and maturing in 11 months.
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High Cost of Capital
Beyond the stated interest, the note imposes a $2,000 weekly monitoring fee — roughly $94,000 over the term — and a one-time $14,126 administration fee, sharply raising the effective cost.
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Restrictive Covenants
During an event of default, the note prohibits Evofem from merging, selling assets, dissolving, or making payments to non-employee shareholders without HUB's consent.
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Use of Proceeds
Proceeds are restricted to supplier payments for the manufacture and distribution of Phexxi and Solosec, signaling a focus on maintaining product supply.
Analysis · EVFM · Life Sciences
Already under a going-concern warning and in default on its senior debt, Evofem Biosciences has secured a $706,304 subordinated loan from HUB Cyber Security. The note carries a 12% interest rate, an 11-month maturity, and additional fees that total roughly $108,000 if held to maturity. Proceeds are earmarked solely for supplier payments to keep Phexxi and Solosec production going — a lifeline that buys time but adds another layer of debt behind the senior obligations held by Future Pak. The negative covenants, including a prohibition on mergers or asset sales without HUB's consent, further constrain management's options. For a company with a market cap near $1.1 million and a stock price under a penny, this financing is a critical survival move, but the terms reflect the extreme risk lenders perceive.
How filings like this one have moved
In the 30 days to Oct 1, 2026, 36.1% of the 1051 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.56%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, EVFM was trading at $0.01 on OTC in the Life Sciences sector, with a market capitalization of approximately $1.1M. The 52-week trading range was $0.00 to $0.02. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.