Bone Biologics Corp. agreed to sell up to 3,869,979 common shares at $1 each to Hankey Capital LLC.

The Burlington, Mass.-based medical device company also agreed to issue a convertible secured note due Dec. 31, 2019, worth up to $2 million.

The note is convertible into Bone Biologics common stock at $1 per share and will have an interest at a prime rate or 8.5% annually, whichever is greater.

The purchase agreement with Hankey Capital will close on the later of July 16, or when the company implements its 1-for-10 reverse stock split.