Currenc Group raises up to $33 million in convertible note financing

Currenc Group Inc. (NASDAQ: CURR) announced an agreement to issue up to $33 million in unsecured convertible promissory notes due October 8, 2027. The fintech company would receive $30 million in net proceeds if the financing is fully funded after deducting costs and expenses.

An initial $4.4 million in principal has closed, providing $4 million in net proceeds to the company. The remaining funds will be drawn in tranches subject to conditions outlined in the transaction documents.

The notes carry a 5% annual interest rate and include 50% warrant coverage with an exercise price of $1.85 per share. Holders may convert the notes at an initial conversion price of $1.85 per share under certain circumstances. The company may prepay the notes with a 10% premium and can extend the maturity date by up to six months.

In a change of control scenario, holders may require cash prepayment at 110% of outstanding principal or convert immediately before closing.

The company plans to use proceeds for general corporate purposes, including working capital and growth initiatives, and may repay existing debt. Currenc operates AI solutions for financial institutions and provides digital remittance services.

Ladenburg Thalmann & Co. Inc. served as sole financial advisor for the transaction. The company agreed to file a SEC registration statement covering resale of shares issuable upon conversion within 60 days of each closing.

The notes were issued through a private offering and have not been registered under the Securities Act of 1933.

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