Oriental Payment Group Holdings (08613) plans to issue convertible bonds with a principal amount of HK$3.12 million

According to Zhitong Finance App, Oriental Payment Group Holdings (08613) announced that on October 15, 2024, the company plans to issue convertible bonds with a total capital of HK$3.12 million to the subscriberer Blu Venture Partners, LLC. The exchange price is HK$0.14 per share.

Assuming that there is no change in the total issued share capital of the company, after all convertible bonds have been converted from the date of this announcement, the exchange shares account for about 1.17% of the company's current total issued share capital at the date of this announcement; and the total issued share capital of the company after being expanded through allotment and issuance of exchange shares is about 1.16% of the total issued share capital of the company.

The amount of outstanding debt of $184,700 was accrued from June 2024 to October 2024. The company and the subscribing party have agreed to refinance the debt amount by issuing convertible bonds. The company believes this will help maintain a positive relationship with subscribers and allow the Group to continue to receive assistance with its BCode operations.

In addition to the amount of debt, the directors also stated that the Group should raise and reserve sufficient cash to meet its upcoming cash flow requirements in a timely manner. This will strengthen the Group's financial position and meet its general working capital requirements to meet operating cash flow requirements.

The directors believe that the subscription is an excellent opportunity for the Group to achieve these goals. Furthermore, the directors also consider the subscription matter to be a cost-effective and time-efficient way to raise additional capital to support the Group's business operations.