8-K - HCMC - Equibles

UNITED

STATES

SECURITIES

AND EXCHANGE COMMISSION

Washington,

D.C. 20549

FORM

8-K

CURRENT

REPORT

Pursuant

to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 16, 2024

HEALTHIER

CHOICES MANAGEMENT CORP.

(Exact name of registrant as specified in its charter)

Delaware	001-36469	84-1070932
(State<br> or Other Jurisdiction	(Commission	(I.R.S.<br> Employer
of<br> Incorporation)	File<br> Number)	Identification<br> No.)

3800

N. 28th Way , #1

Hollywood,Florida 33020

(Address of Principal Executive Office) (Zip Code)

(888)766-5351

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written<br> communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting<br> material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement<br> communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement<br> communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title<br> of each class	Trading<br> symbol(s)	Name<br> of each exchange on which registered
Common	HCMC	OTC<br> Pink

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item1.01 Entry into a Material Definitive Agreement.

On May 16, 2024, Healthy Choice Wellness Corp. (“HCWC”), a wholly owned subsidiary of Healthier Choices Management Corp., entered into a revolving line of credit (the “Facility”) with a private lender (the “Lender”).

Pursuant to the terms of that certain Commitment Letter (“Commitment Letter”), dated May 16, 2024, between HCWC and the Lender, HCWC may borrow up to $5.0 million to be used for general working capital purposes. The term of the facility is through August 31, 2025 (the “Maturity Date”) and the interest rate is 12% per annum. All principal and accrued interest will be due on the Maturity Date. Amounts borrowed under the Facility may be prepaid at any time.

The foregoing summary of the Facility is not complete and is qualified in its entirety by reference to the actual Commitment Letter, which is filed as Exhibit 10.1 to this Current Report on Form 8-K and incorporated by reference herein.

Item2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

The information set forth under Item 1.01 above is incorporated by reference into this Item 2.03.

Item9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit Number	Description
10.1	Commitment Letter, dated May 16, 2024, by and between Hal Mintz and Healthy Choice Wellness Corp.
104	Cover<br> Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	HEALTHIER CHOICES MANAGEMENT CORP.
Date:<br> May 22, 2024	By:	/s/ Jeffrey Holman
		Jeffrey<br> Holman, Chief Executive Officer

Exhibit10.1

Healthy Choice Wellness Corp.

Attn: Jeffrey Holman

3300 N. 28^th^ Way, Unit #1

Hollywood, FL 33020

May 16, 2024

Dear Mr. Holman:

I am pleased to advise you of my commitment to provide financing to Healthy Choice Wellness Corp. (the “Borrower”) on the following terms and conditions. This commitment letter (this “Commitment”) is intended to be inclusive of all material terms and conditions of the line of credit (the “Loan”) being made available by me to the Borrower. The provisions of this Commitment are intended to be binding and the consummation of transactions contemplated herein and the provision of the Loan by the Lender are not subject to any contingencies. The following is a description of the material terms of the Loan.

LENDER:	Hal<br> Mintz (the “Lender”) or any of his affiliates or subsidiaries designated by the Lender.
PURPOSE:	The<br> proceeds of the Loan shall be used by the Borrower for general working capital purposes.
LOAN<br> AGREEMENT:	The<br> Loan shall be further evidenced by a Loan Agreement and certain other loan documents required by the Lender (the “Loan Documents”).<br> The parties agree to enter into the Loan Documents as soon as practicable, but advances to Borrower may still be requested prior<br> to execution of the Loan Documents. The Loan Agreement shall, in addition to the covenants, representations and warranties contained<br> herein, contain such agreements, representations, warranties and financial affirmative and negative covenants, defaults as may be<br> customary in transactions of this type to evidence and assure repayment and performance of the Loan (collectively, the “Obligations”).
LOAN<br> AMOUNT:	The<br> Loan shall be in the form of a revolving line of credit in an amount equal to $5,000,000.
TERM:	The<br> Loan shall be repayable in full on August 31, 2025 (the “Maturity Date”).
REPAYMENT;
INTEREST:	The<br> outstanding principal of the Loan shall be repayable in full on the Maturity Date.

	Borrower<br> may pre-pay, at any time including accrued interest, in whole or in part, at any time upon 3 Business Days prior written notice to<br> the Lender.
	The<br> interest rate on funds advanced shall be 12% per annum paid quarterly in arrears; provided, however, that in no event shall any interest<br> rate contracted for, charged or received exceed the maximum rate allowed by applicable law. In the event of default, the interest<br> rate will be the lesser of 25% per annum and the maximum rate allowed by applicable law.
	Interest<br> due shall be calculated on the basis of actual days in a 360-day year. All payments of principal and interest shall be in U.S. dollars<br> at the Lender’s bank account.
LEGAL<br> FEES:	Borrower<br> shall be required to pay Lender’s attorneys the reasonable legal fees and expenses of said attorneys for services to Lender<br> in connection with this transaction, including any fees and expenses incurred in connection with the preparation, execution and delivery<br> of any Loan Documents.
Negative<br> Covenants:	The<br> Loan Documents shall contain customary negative and affirmative covenants as the Lender and the Borrower may agree.
INDEMNIFICATION:	The<br> Borrower agrees to indemnify and hold harmless the Lender and each of its controlling persons, affiliates and their directors, officers,<br> employees, advisors and agents (each, an “Indemnified Party”) from and against (and will reimburse each Indemnified<br> Party for) any and all losses, claims, damages, liabilities, and expenses (including, without limitation, the fees and expenses of<br> counsel) that may be incurred by or asserted or awarded against any Indemnified Party, in each case arising out of or in connection<br> with or by reason of (including, without limitation, in connection with any investigation, litigation or proceeding or preparation<br> of a defense in connection therewith) any matters contemplated by this letter, any related transaction, the Loan or any use made<br> or proposed to be made with the proceeds thereof, unless and only to the extent that, as to any Indemnified Party, it shall be determined<br> in a final, nonappealable judgment by a court of competent jurisdiction that such losses, claims, damages, liabilities or expenses<br> resulted primarily from the gross negligence or willful misconduct of such Indemnified Party. The indemnification obligations shall<br> survive termination of this Commitment.

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| --- | | MISCELLANEOUS: | This Commitment contains the entire agreement of Borrower a with the Lender and supersedes entirely any and all prior written or oral agreements relating to the Loan. Lender acknowledges that the Borrower is a subsidiary of a publicly-traded company and must comply with disclosure obligations under U.S. securities laws or as may otherwise be required in accordance with applicable law. | | --- | --- | | GOVERNING LAW: | This Commitment will be governed by and construed in accordance with the laws of the State of Florida, without regard to the principles of conflicts of laws thereof. Borrower consents to the non-exclusive jurisdiction of the state and federal courts located in the County of Broward in connection with all suits, actions or other proceedings arising out of, or in connection with this letter, the Loan contemplated herein and all agreements between the Borrower and the Lender. | | Very truly yours, | | | --- | --- | | By: | /s/ Hal Mintz | | Name: | Hal Mintz |

Agreed and accepted this 16^th^ day of May, 2024

HEALTHY<br> CHOICE WELLNESS CORP.
By:	/s/<br> Jeffrey E. Holman
Name:	Jeffrey<br> E. Holman
Title:	Chief<br> Executive Officer

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