Audio Pixels Holdings Limited announces issuance of Convertible Notes

Audio Pixels Holdings Limited (ASX:AKP) has issued Convertible Notes worth A$6,450,000 to existing shareholders who are sophisticated investors. The Notes have a term of up to 31 December 2025, are unsecured, and attract an interest rate of 12% per annum, which is capitalized until the Note is fully repaid or converted into Shares. Additionally, the investors will receive 1,290,000 unlisted options at a strike price of A$10.84, expiring on 4 May 2027. The existing convertible noteholders with a total Note face value of $4,050,000 have agreed to extend the maturity date of their existing notes to 31 December 2025.

Executive Commentary on Convertible Notes and Funding

The issuance of Convertible Notes to existing shareholders provides the Company with the necessary capital to explore various opportunities without time pressures. The terms of the Notes, including the interest rate and conversion options, have been structured to align with the Company's strategic objectives and to meet regulatory requirements. The extension of the existing convertible notes' maturity date and the agreement with 4F Investments Pty Ltd demonstrate the Company's commitment to managing its capital structure effectively and maintaining strong relationships with its stakeholders.

Summary of Audio Pixels Holdings Limited Announcement

Audio Pixels Holdings Limited has successfully issued Convertible Notes to existing shareholders, providing the Company with the flexibility to pursue capital management and other potential opportunities. The terms of the Notes, including the interest rate, conversion price, and the issuance of unlisted options, reflect the Company's strategic approach to funding and capital structure. The extension of existing convertible notes' maturity date and the agreement with 4F Investments Pty Ltd further strengthen the Company's financial position. This announcement aligns with the Company's commitment to meeting regulatory requirements and optimizing its capital structure to support its long-term growth and strategic objectives.