Carney Technology Acquisition Corp. II announced a private placement of a promissory note in the principal amount of up to $2,340,533 on December 19, 2022. The transaction included participation from returning investor Carney Technology Sponsor II LLC.

The note bears no interest and is repayable in full upon the earlier of the date of the consummation of the Company?s initial business combination, or the date of the liquidation of the company. Notwithstanding the foregoing, the investor may elect to convert up to $1,200,000 of the unpaid principal balance of the note into that number of units, each unit consisting of one share of Class A common stock of the company and one third of one warrant, each whole warrant exercisable for one share of Class A common stock of the company. The principal of the note may be drawn down from time to time prior to the maturity date.

Each drawdown request must state the amount to be drawn down, and must not be an amount less than ten thousand dollars. Once an amount is drawn down under this Note, it shall not be available for future drawdown requests even if prepaid.