8. Convertible Preferred Stock

 

On August 8, 2012, the Company issued 2,500,000 shares of Series A-1 Convertible Preferred Stock ("Series A-1") at a purchase price of $0.50 per share. The issuance resulted in cash proceeds of $1,208,000, net of issuance costs of $42,000. The Series A-1 had a liquidation preference amount of $1,542,000 at June 30, 2016.

 

On various dates in 2013, the Company issued 12,100,000 shares of Series A-2 Convertible Preferred Stock ("Series A-2") at a purchase price of $1.00 per share. The shares were issued for cash proceeds of $10,021,000, net of issuance costs of $42,000, and the exchange of outstanding Convertible Notes, including accrued interest, of approximately $2,036,000. The Series A-2 had a liquidation preference amount of $14,432,000 at June 30, 2016.

 

On various dates in 2014, the Company issued 15,750,000 shares of Series A-3 Convertible Preferred Stock ("Series A-3") at a purchase price of $1.00 per share. The issuances resulted in cash proceeds of $15,749,000, net of issuance costs of $1,000. The Series A-3 had a liquidation preference amount of $17,878,000 at June 30, 2016.

 

The Series A-1, Series A-2 and Series A-3 preferred stock are collectively referred to as "Series A" or "Series A Preferred Stock."

 

In October 2014, the Company issued 16,893,931 shares of Series B Convertible Preferred Stock ("Series B") at a purchase price of $3.1461 per share. The issuance resulted in cash proceeds of $52,998,000, net of issuance costs of $152,000.

 

In January 2016, the Company issued 12,714,150 shares of Series B at a purchase price of $3.1461 per share. The issuance resulted in cash proceeds of $39,794,000, net of issuance costs of $206,000. The Series B had a liquidation preference of $99,726,000 at June 30, 2016.

 

The rights, preferences, and privileges of the Series A-1, Series A-2, Series A-3 and Series B (collectively the "Preferred Stock") are included in the Prospectus. There were no changes to the rights, preferences, and privileges of the Preferred Stock during the six months ended June 30, 2016.