The Agency Group has been able to convert $3 million worth of debt into equity as a result of a “strong show of support” from Peters Investments Pty Ltd.
An ASX release from The Agency Group has advised that Peters Investments Pty Ltd has exercised 14 million options and converted $3.121 million worth of convertible notes into equity.
The conversion of the convertible notes will see 115,621,485 shares issued today, with Peters Investments to then hold 129,621,485 fully paid ordinary shares — or a 30.24 per cent interest in The Agency Group.
The real estate network said the conversions show strong support for the board, staff and agents, and come after the release of record half-yearly revenue results by the group just last week.
The Agency’s managing director, Paul Niardone, has commented on the conversion and options exercise, stating that “Peters Investments has shown, in a very tangible way, strong support for The Agency, its strategy and long-term plans”.
The actions announced today mean Peters Investments — a private investment vehicle of Bob Peters — has converted 50 per cent of its secured convertible notes into equity.
Mr Niardone said this will provide the company with a stable and financial major shareholder to support The Agency on its continued growth.
“Peters Investments has seen our outstanding results and is backing the board, executive team and staff to continue this strong momentum,” the managing director concluded.
The latest announcement comes after an attempt by Magnolia to place The Agency into voluntary administration. A summary can be found here.
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