Sprintex Ltd (ASX:SIX) has secured $1,091,000 by way of issue of convertible notes, which will be used predominantly to capitalise on commercialising e- compressor sales opportunities.
Illustrating their confidence in the company were SPX directors and management Steven Apedaile, Jay Upton and Li Chen, who subscribed to the value of $400,000.
Two substantial shareholders, China Automotive Holdings Ltd and Euro Mark Limited, also demonstrated their conviction by subscribing to the value of $491,000.
The remainder of the subscription was undertaken by sophisticated and professional investors.
The convertible notes will initially be issued as loans and carry the conditional right to convert into shares, pending approval from the shareholders. The established conversion price for each note is $0.025 per fully paid ordinary share, with this rate applicable for conversions executed on or before the maturity date of June 30, 2025.
For every $12,500 invested through these notes, subscribers are entitled to convert to 500,000 shares, contingent upon receiving the green light from shareholders.
In addition, with every $12,500 contribution, investors are also accorded the right to 250,000 options, each with an exercise price of $0.10, valid until the maturity date. The issuance of these options is equally dependent on shareholder approval, ensuring alignment with the interests of the existing shareholders.