Mooreast Holdings says the lender of a $20.01 million convertible loan agreement signed in August has again delayed the payment of a $1 million deposit.
The loan agreement was first announced back in June. After a definitive agreement on Aug 13, the lender was supposed to put a deposit of $1 million but this was delayed four times to Dec 31. The long-stop date for the loan agreement was also extended to Jan 31 2025.
The convertible loan was to be from a fund by N PrimePartners Capital, managing the deal via a so-called variable capital companies structure. An interest rate of 3.7% per annum will apply and the loan will mature in 3 years.
According to Mooreast, on Dec 26, the lender notified via email that its own investor has terminated its subscription to the VCC fund.
"As such, it is unlikely that the deposit will be received by the company on Dec 31.
"The company is seeking clarification from the lender on the email notification," says Mooreast.
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Mooreast shares last traded at 11 cents, down 21.43% year to date.
