Propell Holdings Limited (ASX: PHL) has successfully negotiated an extension to its Convertible Note Deed (CND) until May 15, 2025. This extension, initially announced on July 11, 2022, and approved by shareholders on August 24, 2022, provides Propell with additional time to finalize its delisting process, previously announced on February 20, 2025, and explore alternative financing arrangements to repay the amounts owed under the CND. The original maturity date was February 28, 2025.
The Noteholder has agreed to refrain from taking any action under the terms of the CND during this extension period. Propell is actively pursuing alternative funding options to facilitate the refinance of the amounts owed by the new deadline. Preliminary discussions indicate that any funding secured will be conditional upon the successful delisting of the company. As of the date of this announcement, no alternative arrangements have been finalized.
The company acknowledges that failure to secure the necessary funding may result in the Noteholder enforcing its rights under the CND, as detailed in the general meeting notice released on July 22, 2022. Propell’s strategic move to extend the Convertible Note Facility provides crucial breathing room. Propell aims to create a digital-first platform that serves Australia’s 2.3 million SMEs, a market with approximately $423 billion in SME loans.
Propell’s digital platform aims to improve small businesses’ cash flow and financial wellbeing by aggregating various finance products and services, including lending, payments, and cash flow forecasting tools. The company leverages its extensive customer data with an AI-based engine to deliver its products in an entirely digital manner. Propell launched its platform in mid-2020 and is focused on further customer growth and development of its product suite.
