Mr. Todd Hudson reports
AXIS ANNOUNCES AMENDMENTS TO 7.5% EXTENDIBLE UNSECURED CONVERTIBLE SUBORDINATED DEBENTURES
Axis Auto Finance Inc. intends to extend the maturity date of its 7.5-per-cent extendible unsecured convertible subordinated debentures until Dec. 31, 2025, and decrease the conversion price of the debentures to 80 cents per share.
The debentures were issued in April, 2018, pursuant to a debenture indenture with TSX Trust Company and have an interest rate of 7.5 per cent per annum, payable semi-annually in arrears on the last day of June and December in each year. The debentures are convertible at the option of the holder of the debentures at any time prior to the day immediately preceding the final expiry date (as such term is defined in the indenture) at a conversion price of 80 cents per share, subject to adjustments in accordance with the provisions of the indenture. The debentures are redeemable in whole or in part at Axis's option at any time up to the final maturity date. Other than the proposed amendments providing for a new maturity date and conversion price, the other terms of the debentures remain unchanged.
The debentureholders have passed an extraordinary resolution (as such term is defined in the indenture) approving the amendments to the maturity date and the conversion price and the TSX has conditionally approved the amendments, subject to standard filing conditions.
About Axis Auto Finance
Axis is a financial technology company changing the way Canadians buy and finance used vehicles. Through its direct-to-consumer portal, DriveAxis, customers can choose their next used vehicle, arrange financing and get the car delivered to their home. In addition, the company continues to grow B2B (business to business) non-prime auto loan originations by delivering innovative technology solutions and superior service to its dealer partner network. All Axis auto loans report to Equifax, resulting in over 70 per cent of customers seeing a significant improvement of their credit scores.
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