Presto Automation Leadership Changes and Financial Challenges

Presto Automation (PRST) just unveiled an update.

Stephen Herbert resigned from the Company’s board, and Stanley Mbugua stepped down as CFO, succeeded by Lillian Meyer with a strong financial background and a comprehensive compensation package. Amidst a precarious liquidity situation, the Company secured a short-term $650,000 subordinated convertible note from Remus Capital and continues to sell shares under an agreement with Triton Funds LP. However, without further leniency from lenders, the Company faces a potential default that could lead to investor losses. The situation is compounded by significant share dilution due to anti-dilution protections, and the Company is struggling to meet a $32 million fundraising obligation to restructure its loan agreements.

For a thorough assessment of PRST stock, go to TipRanks’ Stock Analysis page.