B. Riley Financial Reduces Debt by Approximately $18 Million via Private Bond Exchange

Core Viewpoint - B. Riley Financial, Inc. has entered into a privately negotiated exchange agreement that will reduce its total outstanding debt by approximately $18 million [1][2]. Debt Exchange Details - The agreement involves the exchange of approximately $43 million in outstanding Senior Notes for $25 million in newly issued 8.00% Senior Secured Second Lien Notes due January 1, 2028 [2]. - The outstanding Senior Notes include $2 million in September 2026 notes, $20 million in December 2026 notes, $5 million in January 2028 notes, and $16 million in August 2028 notes [2]. - The company is also issuing warrants to purchase approximately 98,000 common shares at an exercise price of $10.00 per share, exercisable for seven years from the issuance date [2]. Impact on Debt Structure - After the exchange, the total balance of the Notes will be $229 million, with $21 million of capacity remaining [3]. - This marks the fifth bond exchange negotiated by the company in four months, resulting in a total debt reduction of approximately $126 million [3]. - The company aims to further improve its balance sheet by utilizing the remaining capacity under its Senior Secured Second Lien facility [3]. Company Overview - B. Riley Financial is a diversified financial services company that provides tailored solutions across various financial sectors, including investment banking, institutional brokerage, and corporate restructuring [5]. - The company leverages cross-platform expertise to deliver collaborative solutions at every stage of the business life cycle [5].