Signing Day Sports announces new consulting agreement By Investing.com

Signing Day Sports, Inc. (NYSE American:SGN), a company specializing in computer processing and data preparation services, reported entering into a significant consulting agreement and the unregistered sale of equity securities, according to an 8-K filing with the Securities and Exchange Commission.

On Monday, the company disclosed a consulting agreement with Clayton Adams, under which Adams will provide advice on mergers, acquisitions, financing, and public company governance, among other services. In return, Adams received 127,826 shares of common stock under the company’s 2022 Equity Incentive Plan. Additionally, Adams was initially set to receive 668,841 shares of common stock in a private placement. However, an amendment to the agreement on Thursday resulted in these shares being granted instead to Birddog Capital, LLC, a firm beneficially owned by Adams.

The amendment also included certain registration rights and stated that the grant of shares to Birddog Capital is contingent upon authorization by the NYSE American and the company’s board or compensation committee, which was granted on Thursday.

Moreover, as part of a previous agreement, the company issued a warrant for 333,333 shares of common stock to Adams, with an exercise price of $0.01 per share. Boustead Securities, LLC, the placement agent for the transaction, was issued a warrant to purchase 23,333 shares of common stock at an exercise price of $0.30 per share. These securities transactions are exempt from registration under the Securities Act, pursuant to Section 4(a)(2) and/or Rule 506(b) of Regulation D.

In other recent news, Signing Day Sports, Inc. has entered into significant agreements with consultant Clayton Adams and its outside securities counsel, Bevilacqua PLLC (BPLLC). Adams will provide advisory services on strategic initiatives, including mergers and acquisitions, and receive 127,826 shares of common stock. Additionally, Adams is promised 668,841 shares as a private placement and a pre-funded warrant to purchase 333,333 shares of common stock.

The company also disclosed a material agreement with BPLLC, deferring a payment of $684,350.98 until the next major financial transaction. BPLLC was issued a pre-funded warrant to purchase 2.5 million shares of common stock.

In another development, the employment agreement with CEO Daniel Nelson was revised. If Nelson is terminated without cause, he will receive severance payments equivalent to his base salary, distributed over 12 monthly installments. In the event of a termination during a Change of Control, Nelson will be compensated with half of his base salary, paid over six months. These are recent developments in the company’s strategic initiatives.

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