LONDON - Fintech Asia Limited (LON:FINA), a company targeting acquisitions in Asia's financial technology sector, has secured an additional £2 million through a convertible loan facility. The loan, provided by IVC Estonia OÜ, is structured to support the company's working capital needs and facilitate its proposed acquisition of InvesCore Financial Group Pte. Ltd.
The Series D Convertible Loan is set to be disbursed in two tranches, with the first £1.5 million expected on or around December 15, 2024, and the remaining £500,000 on or around January 6, 2025. This loan carries a fixed interest rate of 10% per annum and is repayable by December 31, 2025. Fintech Asia retains the right to repay the loan early without penalty.
This financing move is part of Fintech Asia's strategic efforts to acquire InvesCore, which, if completed under the current terms, would result in a reverse takeover according to the Financial Conduct Authority's Listing Rules. Consequently, Fintech Asia's listing on the London Stock Exchange (LON:LSEG) remains suspended pending the release of a prospectus and the successful re-admission of its enlarged share capital.
The note holder, IVC Estonia OÜ, is fully owned by an existing shareholder of InvesCore, aligning with the company's long-term interests. The loan provides the note holder the option to convert the loan into new ordinary shares at a conversion price of 64 pence per share upon repayment, or to choose a cash repayment instead. The convertible loan is contingent upon necessary approvals as per the Takeover Code and the company's articles of association, and includes standard provisions for events of default.
This announcement is based on a press release statement and is now considered public information, previously categorized as inside information under the Market Abuse Regulations. Further updates from the company will be provided as appropriate.
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