Item 1.01 Entry into a Material Definitive Agreement.
Private Placement Offering of Common Stock
On March 4, 2021, Ascent Solar Technologies, Inc., a Delaware corporation
(the “Company”) entered into a securities purchase agreement (“Common Stock SPA”) with Baybridge Capital
Fund, LP, a private investor (“BBCF”), for the private placement of 75,000,000 shares of the Company’s Common
Stock at a fixed price of $0.04 per share.
On March 9, 2021, the Company sold the 75,000,000 common shares
to BBCF in exchange for $3,000,000 of gross proceeds.
In the Common Stock SPA, the Company has agreed to make commercially
reasonable best efforts to register such 75,000,000 common shares on a resale registration statement. The Company expects that
such resale registration statement would be filed by the Company shortly after the filing of the Company’s Annual Report
on Form 10-K for the year ended December 31, 2020.
Settlement of Outstanding Secured Convertible Promissory Note
As previously disclosed, on September 9, 2020, the Company entered
into a securities exchange agreement with Global Ichiban Limited, a British Virgin Islands corporation (“GI”). Pursuant
to the terms of such exchange agreement, GI agreed to surrender and exchange all of its existing outstanding promissory notes with
an aggregate principal balance of $6,374,666.57 (including accrued interest). In exchange, the Company issued to GI a secured convertible
promissory note with a principal amount of $6,400,000.00 (“GI Secured Note”).
On March 9, 2021, the Company entered into a settlement agreement
(“GI Settlement Agreement”) with GI regarding the GI Secured Note. Pursuant to the terms of the GI Settlement Agreement,
GI agreed to surrender and cancel the GI Secured Note (current principal balance of $5,800,000) in exchange for 168,000,000 shares
of the Company’s Common Stock.
In connection with the GI Settlement Agreement, the lien and security
agreement on substantially all of the Company’s assets securing the GI Secured Note was terminated and cancelled.
In the GI Settlement Agreement, the Company has agreed to make commercially
reasonable best efforts to register such 168,000,000 common shares (and certain other shares held by GI and its transferees) on
a resale registration statement. The Company expects that such resale registration statement would be filed by the Company shortly
after the filing of the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.
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The foregoing description of the Common Stock SPA and the GI Settlement
Agreement is a summary and is qualified in its entirety by reference to the documents attached hereto as Exhibits, which documents
are incorporated herein by reference.