VivoPower Strengthens Balance Sheet, Further Reduces Debt by US$7.5 Million

Core Insights - VivoPower has negotiated with selected lenders and suppliers to exchange outstanding debts for ordinary shares, resulting in a reduction of liabilities by an aggregate of US$7.5 million [1][2] - Directors have opted to receive shares instead of cash for certain fees, with some shares subject to lock-up conditions [2] - The company aims to fully retire its debts, including a shareholder loan of US$28.8 million as of June 30, 2025, with a retirement program already initiated [3] Financial Strategy - The initiatives reflect VivoPower's commitment to strengthening its balance sheet and optimizing its capital structure to support transformational growth strategies [4] - The execution of these financial strategies is contingent upon approval from independent directors and sufficient liquidity [4] Business Transformation - VivoPower is undergoing a strategic transformation to become the world's first XRP-focused digital asset enterprise, focusing on the acquisition and management of XRP digital assets [5] - The company aims to support decentralized finance infrastructure and real-world blockchain applications through this new direction [5] Company Overview - Founded in 2014 and listed on Nasdaq since 2016, VivoPower operates globally across multiple regions including the UK, Australia, North America, Europe, the Middle East, and Southeast Asia [6] - The company has two business units: Tembo, which focuses on electric solutions for fleet applications, and Caret Digital, which is centered on renewable power use cases including digital asset mining [6]