BANT Bantec Inc (PK)

Item 1.01 Entry into a Material Definitive Agreement.

On March 1, 2019, the registrant, Bantek, Inc. (“Bantek”), received $78,000 under a Securities Purchase Agreement dated February 27, 2019, between it and Redstart Holdings Corp. (“Redstart”) under which Bantek issued a convertible promissory note (the “Note”) in the principal amount of $78,000. The Note bears interest at 10% per annum and has a maturity date of December 30, 2019. The Note may be prepaid at a premium ranging from 112% to 137% depending on the length of time following the date of the Note. The Note is convertible after 180 days into shares of Bantek common stock at a discount of 35% of the average of the two lowest closing bid prices of Bantek’s common stock 15 days prior to the date of conversion and the maximum number of shares issued to Redstart may not exceed 4.99% of the issued and outstanding shares of Bantek common stock. The Note is subject to customary default provisions, including a cross default provision. Bantek is required to have authorized for issuance six times the number of shares that would be issuable upon full conversion of the Note (assuming that the 4.99% limitation is not in effect).

The foregoing is a summary of the terms of the Securities Purchase Agreement and the Note and is qualified in its entirety by the Securities Purchase Agreement and the Note attached hereto and incorporated herein as Exhibits 10.1 and 10.2, respectively.