MGT Capital Investments, Inc. (OTCPK:MGTI) announced that it has entered into a securities purchase agreement with returning investor Bucktown Capital, LLC for a private placement of a convertible promissory note for gross proceeds of $11,000,000 on March 5, 2021. The note have a principal value of $13,200,000. The note is unsecured, convertible, at the option of the investor, into shares of common stock of the company at a conversion price equal to 70% of the lowest price for a share of common stock during the ten trading days immediately preceding the applicable conversion. The note will be funded in tranches, with initial tranche of $1,210,000, for consideration of $1,000,000. Six subsequent tranches, each for $1,200,000 and one tranche for $6,000,000. The note bears interest at a rate of 8% per annum and will mature in twelve months. The company may prepay all or any portion of the outstanding balance of the note in cash at any time in an amount equal to 110% of the portion of the outstanding balance the company elects to prepay. The note carries an original issue discount of $2,200,000. In addition, company agrees to pay $10,000 to investor to cover investor’s legal fees, accounting costs, due diligence, monitoring and other transaction costs incurred in connection with the transaction. The company will issue the securities pursuant to exemption provided under Regulation D.