Polar Power Issues $165K Convertible Notes at 80% VWAP Discount, Adds Independent Director
POLA is trading near its 52-week low of $1.31 (8.4% above the low) on light trading volume (0.1× avg).
Summary
Polar Power issued $165K in convertible notes at a 9.1% discount with conversion at 80% of VWAP or $1.00, and added Lewis Wilks as an independent director.
Key Events · Financing and Capital Events · POLA
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Convertible Notes Issued
Issued $165,000 aggregate principal convertible notes to LU2 Holdings LLC and CL Investment Group LLC for $150,000 cash, a 9.1% original issue discount.
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Conversion Terms
Notes convert at maturity (Nov 26, 2026) at the lower of 80% of 5-day VWAP or $1.00 per share, with 1% monthly PIK interest.
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Equity Facility Subordination
All net proceeds from the Roth Principal Investments equity facility must be used to repay these notes first, effectively prioritizing this debt.
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Board Expansion
Board expanded to six directors; Lewis Wilks, Senior Managing Partner at Bright Peaks Venture Capital, elected as independent director.
Analysis · POLA · Manufacturing
Polar Power continues its pattern of highly dilutive financing, issuing $165,000 in convertible notes for only $150,000 in cash — a 9.1% original issue discount. The notes convert at the lower of 80% of the 5-day VWAP or $1.00, meaning if the stock stays near its current $1.42, conversion would occur at $1.00, creating immediate dilution. The company has also committed all net proceeds from its $25 million Roth equity facility to repay these notes first, effectively subordinating that facility to this new debt. This comes amid a going concern warning, Nasdaq delisting risk, and a $1.8M Q2 loss — the company is financing survival with increasingly expensive capital.
How filings like this one have moved
In the 30 days to Sep 7, 2026, 36.5% of the 1935 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was 0.00%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, POLA was trading at $1.42 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $6M. The 52-week trading range was $1.31 to $5.75. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.