- Mercurity Fintech ( NASDAQ: MFH ) said Monday it issued an unsecured convertible promissory note with a face value of $9M to a non-U.S. investor.
- The note will bear non-compounding interest at a rate per annum equal to 5% from the date of issue until repayment of the note unless the buyer chooses to convert the note into shares.
- The investor has the right to convert the outstanding balance under the note into shares at $0.00172/share (equivalent to $0.62/ADR).
- Mercurity Fintech ( MFH ) plans to use net proceeds from the note to fund development of Web3 and blockchain infrastructure, expansion of consulting services, as well as pursuit of a cryptocurrency license from the New York State Department of Financial Services.
- There is no assurance that the firm will successfully obtain the BitLicense in the foreseeable future or at all.
- Shares of the company, which closed 9.6% higher on Monday, fell 4.3% in aftermarket trade.
- Earlier, Mercurity Fintech ( MFH ) reversed its decision on implementing ADR ratio change .
For further details see:
Mercurity Fintech issues $9M convertible promissory note to non-US investor