ECD Automotive Design, Inc. has filed an 8-K report detailing significant financial developments. On March 12, 2026, the company disclosed that the Holder, an institutional investor, exercised its right to purchase additional senior secured convertible notes amounting to $2,663,770. This purchase is part of a previously established securities purchase agreement from June 5, 2025, which allows for a total of up to $21,972,275.38 in notes. The additional notes will mature on December 12, 2026, unless converted or redeemed earlier. Notably, the terms include a beneficial ownership limitation, restricting the Holder from owning more than 9.99% of the outstanding common stock upon conversion. If converted at the floor price of $0.0034 per share, the additional notes could result in the issuance of approximately 783 million shares of common stock. Furthermore, the filing indicates that the company's outstanding warrants have been adjusted due to a merger, with the current exercise price set at $2300 per share, rendering them effectively worthless. These developments may have implications for the company's liquidity and shareholder dilution, as the issuance of new shares could affect existing shareholders' stakes.

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