NAGA Group borrows $6 million to repay Convertible Notes due Oct 30

Hamburg primarily based, social buying and selling centered on-line brokerage NAGA Group AG (ETR:N4G) has introduced that it has taken out a mortgage (with out conversion rights) from an unnamed institutional investor with a time period of 12 months.

Whereas NAGA didn’t specify the precise quantity of the mortgage, it did state that the proceeds had been for use in partial compensation of the $8.2 million, 6-month mortgage it took out in April 2023, by way of a problem of convertible bonds made by NAGA, as was solely reported on the time right here at FNG. NAGA said that it negotiated an adjustment in phrases on the convertible bonds (which change into due with curiosity on October 30), such that $6 million will likely be repaid on time subsequent week, and an additional $2.7 million (together with accrued curiosity) will likely be repaid on January 30, 2024.

NAGA additionally said that the convertible bond holder is not going to train its conversion proper in order that there will likely be no dilution for NAGA shareholders. Nevertheless that appeared pretty apparent, in that NAGA shares on the time the bond was issued had been buying and selling at about €1.75 (with the conversion value set at about that stage), however have fallen by about 36% since then to €1.12. A conversion would lead to a heavy loss for the bondholder.

In a separate announcement, NAGA said that it’s quickly launching its first ever White Label partnership with a regulated online-brokerage from Kuwait, and that it has developed a singular “Communities” function permitting sure super-influencers, buying and selling educators and companions to run and promote their very personal social buying and selling neighborhood with a completely customized and branded model of the NAGA Platform. The communities platform went stay in Mexico on October twentieth.

NAGA founder and CIO Benjamin Bilski mentioned:

“In the middle of our R&D and engineering efforts, now we have recognized an issue for our present tremendous influencers and companions who handle their communities utilizing odd Social Media apps akin to Instagram, Fb or Telegram the place communication and buying and selling exercise is disconnected. With the NAGA communities function, Influencers can make the most of all our social media options that are immediately linked with the buying and selling platform and run their very personal neighborhood branded as their very own platform. This may drive extra personalised engagement and identification of the neighborhood as a complete.”

NAGA Group operates offshore (Seychelles) web site and CySEC-licensed