Capital structure enhancement
Search documents
Marvion Inc. Settles $3.95M Subsidiary Debt Through Share Issuance
Prnewswire· 2026-01-26 13:18
Core Viewpoint - Marvion Inc. has entered into a Settlement and Share Issuance Agreement to convert HKD 3,950,000 of debt into equity, enhancing its capital structure and supporting growth initiatives [1][2]. Group 1: Strategic Significance of the Arrangement - The Company will issue 15,816,576 shares at a price of $0.0321 per share, based on the seven-day average closing price prior to the effective date [2]. - Converting liabilities to equity reduces debt obligations, thereby strengthening the Company's capital structure and improving financial flexibility [2][3]. - Settling the liability in shares preserves cash resources for ongoing operations and growth initiatives [3]. Group 2: Stakeholder Alignment and Governance - The equity settlement reflects mutual confidence between Marvion and its creditor, reducing immediate cash outflows [3]. - The arrangement received full approval from the Marvion Board of Directors, indicating strong governance and strategic alignment [3]. Group 3: Outlook and Growth Commitment - Marvion is focused on expanding its integrated logistics, warehousing, and supply chain services across Hong Kong and the Asia Pacific region [4]. - The debt settlement reinforces the Company's capital base, supporting ongoing growth plans and positioning it for enhanced operating momentum and long-term value creation for shareholders [4].