Item 1.01Item 1.01 - Entry into Material Agreement
Item
1.01 Entry into a Material Definitive Agreement.
On
July 17, 2026 (the “ Closing Date ”), Venu Holding Corporation (the “ Company ”), together with certain
of its subsidiaries named as guarantors (the “ Guarantors ”), entered into a Secured Promissory Note and Guaranty Agreement
(the “ Note ”) with Ryan, LLC (the “ Lender ”) in connection with the financing of a short-term bridge
loan (the “ Bridge Loan ”). Pursuant to the Note, the Lender agreed to provide the Company with a secured Bridge Loan
in a principal amount equal to the sum of $20,000,000 plus up to $500,000 to cover certain of the Lender’s third-party fees, costs,
and expenses incurred in negotiating the Note, which amounts are capitalized into the Note’s principal amount (the “ Principal
Amount ”), together with interest thereon.
A
summary of other key terms of the Note is provided below. Capitalized terms that are used but not defined in this Current Report on Form
8-K (this “ Current Report ”) have the meanings given to them in the Note.
Interest. Interest accrues on the outstanding Principal Amount at a rate of 18% per annum and is payable in kind through monthly capitalization
into the outstanding Principal Amount. If an Event of Default occurs, interest on the outstanding Principal Amount will increase to the
interest rate then in effect plus 6.75% per annum, payable in kind in the same manner as ordinary interest under the Note.
Maturity. All outstanding obligations under the Note, including the then-outstanding Principal Amount (as increased by the capitalized interest)
and accrued and unpaid interest, are due and payable in cash on the date that is 90 days after the Closing Date (the “ Maturity
Date ”).
Voluntary
Prepayment. The Note may be repaid by the Company (in full or in part) at any time without penalty or premium.
Mandatory
Repayment. The Note requires the Company to make mandatory prepayments from specified sources of funds that the Company expects to
receive, or may receive while the Note is outstanding, including from: proceeds the Company expects to receive under certain funding
programs the Company intends to utilize as its permanent financing for its projects at its properties in Broken Arrow, Oklahoma (the
“ Broken Arrow Property ”) and in McKinney, Texas (the “ McKinney Property ”); any government incentive
payments and refunds or rebates related to the McKinney Property and the real property underlying the amphitheater being developed by
the Company in El Paso, Texas (the “ El Paso Property ”); and any outstanding cash deposit receivables owed by FireSuite
purchasers and investors (but excluding cash delivered at the time of the sale) across all of the Company’s and its subsidiaries’
locations (“ FireSuite Receivables ”).
Use
of Proceeds. The Company is required to use the proceeds of the Note to fund construction costs for its in-development amphitheaters
projects.
Security. As security for the Company’s payment or performance of its obligations under the Note, the Company and each Guarantor granted
the Lender security interests in and liens on the assets and properties identified in the Note (the “ Collateral ”).
The Collateral includes: (i) the El Paso Property and all buildings, structures, improvements, fixtures, and other property, rights,
and interests related to such property constituting collateral under the Deed of Trust encumbering such property (collectively, the “ Related
Assets ”); (ii) the property underlying the venue and restaurant being developed by the Company in Centennial, Colorado (the
“ Centennial Property ”) and all Related Assets to the Centennial Property; (iii) the property underlying the Sunset
Hospitality Collection in Colorado Springs, Colorado (the “ SHC Property ”) and all Related Assets related to the SHC
Property (with the liens on the SHC Property and Related Assets being a second position to that of Pueblo (as defined below)); (iv) all
government incentive payments, refunds, and rebates under certain Chapter 380 Agreements; (v) the proceeds from the anticipated permanent
funding program the Company expects to receive and benefit from; and (vi) all FireSuite Receivables.
Certain
of the Collateral identified in the Note requires the consent and approval of municipal partners as a condition for those assets to be
deemed a part of the Collateral, or, for the Lender to perfect and enforce its security interest in those applicable assets, and, the
Note specifies the limited circumstances under which the Company would be obligated to seek those requisite consents, waivers or permissions.
On the Closing Date, the Company and the Guarantors entered into a Security Agreement as required in the Note, and, subject to the terms
of the Note, committed to execute and deliver certain Deeds of Trust in favor of the Lender, to create and perfect security interests
in, and liens on, specific assets and rights of the Company.
Except
for Permitted Liens, the Company and each Guarantor are prohibited from creating, assuming, or permitting to exist any security interest,
encumbrance, mortgage, deed of trust, or other Lien affecting any of the Collateral until all Obligations under the Note have been paid
in full.
Guaranty. As a condition precedent to the Lender’s obligation to fund the Bridge Loan evidenced by the Note, the Company’s chief executive
officer was required to execute and deliver a Guaranty to the Lender on the Closing Date, pursuant to which he personally guaranteed
the Obligations of the Company and each entity Guarantor under the Note. Additionally, each entity Guarantor guaranteed the prompt and
complete payment and performance of the Obligations.
Pueblo
Waiver and Consent. As a condition precedent to the Lender’s obligation to fund the Bridge Loan evidenced by the Note, the
Lender was required to receive a consent from The Pueblo Bank and Trust Company d/b/a PB&T Bank (“ Pueblo ”), which
is the lender under the Company’s Credit Agreement, dated as of May 27, 2025, between the Company and Pueblo (the “ Pueblo
Facility ”), confirming that the execution, delivery, and performance of the Note and the Loan Documents by the Company and
each Guarantor would not constitute a default or breach under the Pueblo Facility. Pueblo’s waiver and consent was required primarily
due to the SHC Property serving as collateral under both the Pueblo Facility and the Note.
Events
of Default and Remedies. The Note contains customary Events of Default, including, among other things, failures by the Company to
make required payments or satisfy other Obligations under the Note or other Loan Documents for a period of five Business Days following
the due date of such Obligations; breaches of covenants set forth in the Note or other Loan Documents that continue for 10 Business Day
following actual knowledge or written notice of such breach; the making of material inaccuracies in any representation, warranty, certificate,
or other statement made or furnished by or on behalf of the Company or any Guarantor in the Note or any other Loan Document; the occurrence
of voluntary or involuntary bankruptcy or insolvency proceedings; the occurrence of material cross-defaults under other indebtedness;
certain unsatisfied judgments; the invalidity or unenforceability of the Liens securing the Note; and a Change of Control of the Company.
Upon the occurrence of an Event of Default, the Lender may declare all outstanding Obligations under the Note or other Loan Documents
to be immediately due and payable (except that, in the case of certain Events of Default related to insolvency or bankruptcy, such Obligations
will automatically become immediately due and payable); and take action to enforce its remedies under the under the Loan Documents or
applicable law.
Post-Closing
Matters. The Note requires the Company and the applicable Guarantors to satisfy certain post-closing obligations set forth in Schedule
II to the Note, including, within 20 Business Days of the Closing Date: (i) causing the applicable Deeds of Trust to be recorded; (ii)
obtaining certain title insurance policies; (iii) causing the Lender to receive a subordination, non-disturbance, and attornment agreement
with respect to each Ground Lease, providing for the subordination of such Ground Lease to the applicable Deed of Trust; and (iv) causing
each Property Owner to execute and deliver to the Lender an Environmental Indemnity.
Other
Customary Provisions. The Note contains other terms and conditions that are customary for a transaction of this nature, including
provisions relating to the maintenance of the business and Collateral of the Company and the Guarantors, preservation and possession
of the Collateral, payment of taxes, satisfaction of insurance obligations, the provision of inspection and access rights related to
the Collateral, restrictions on creating liens, making investments, issuing or assuming indebtedness, or making guaranties, compliance
with ERISA obligations, restrictions on transfers of interests in and leases of the Real Property constituting Collateral, compliance
with zoning, entitlement, and environmental laws related to the Real Property, Lender consent requirements, and customary representations
and warranties of the Company and each Guarantor.
The
foregoing description of the Note is not complete and is qualified in its entirety by reference to the full text of the Note, a copy
of which is filed as Exhibit 10.1 to this Current Report and its incorporated herein by reference.
Item 8.01Item 8.01 - Other Events
Item
8.01 Other Events.
Pueblo
Loan Modification
On
July 17, 2026, the Company and Pueblo entered into a Modification of Loan Documents (the “ Loan Modification ”), pursuant
to which they agreed to amend certain terms of the Pueblo Facility and the related Security Agreement between them dated as of May 27,
2025 (the “ Pueblo Security Agreement ”). The Loan Modification was effected to comply with the condition precedent
under the Note described under “Pueblo Waiver and Consent” in Item 1.01 of this Current Report, which is incorporated by
reference into this Item 8.01 to the extent relevant. The collateral securing the Company’s obligations under the Pueblo Facility
includes the SHC Property, which is also included as Collateral under the Note.
Pursuant
to the Loan Modification, the Pueblo Facility was amended to: (i) expand the definition of “Permitted Liens” to include all
other liens of any kind or nature granted by the Company to any other party and to clarify that, within the definition of “Permitted
Liens,” any liens expressly permitted by Pueblo in writing include a subordinated lien on the collateral securing the Pueblo Facility;
(ii) clarify that the restrictions on borrowings and guaranties do not prohibit obligations arising in connection with such “Permitted
Liens”; and (iii) revise certain restrictions on mergers, consolidations, sales, and asset dispositions to permit dispositions
effected pursuant to the granting or enforcement of “Permitted Liens.” Furthermore, under the Loan Modification, the Pueblo
Security Agreement was amended to limit Pueblo’s security interest to items of collateral acquired using proceeds of the draw down
term loan under the Pueblo Facility, certain deposit accounts maintained by Pueblo, and rents relating to the SHC Property securing the
Pueblo Facility.
The
foregoing amendments under the Loan Modification were made to permit the Company and the Guarantors to enter into the Note and the other
Loan Documents and to grant the Liens to the Lender contemplated thereby without resulting in a default or breach of the Pueblo Facility
or Pueblo Security Agreement.
July
21 Press Release
On
July 21, 2026, the Company issued a press release announcing the Bridge Loan. A copy of the press release is filed with this Current
Report on Form 8-K as Exhibit 99.1 and is incorporated herein by reference.