Loan & DebtMay 13, 2026, 04:27 PM
XCF Global Reduces $16.7M Debt via Equity Issuance to Encore DEC
AI Summary
XCF Global, Inc. announced an agreement to settle approximately $16.7 million in outstanding accounts payable due to Encore DEC, LLC by issuing 37,033,386 shares of its Class A Common Stock. This transaction, based on a conversion price of $0.451 per share, aims to strengthen XCF's balance sheet, enhance financial flexibility, and eliminate property liens related to construction activities at its New Rise Renewables Reno facility. Encore DEC is owned by Randy Soule, a major shareholder, whose beneficial ownership will increase to about 30.56% after the conversion.
Key Highlights
- Settled approximately $16.7 million in accounts payable to Encore DEC.
- Issued 37,033,386 shares of Class A Common Stock for debt settlement.
- Conversion price for the shares was set at $0.451 per share.
- Encore DEC is 100% owned by Randy Soule, a major shareholder.
- Randy Soule's beneficial ownership will increase to approximately 30.56%.
- Transaction aims to strengthen the balance sheet and increase financial flexibility.
- Eliminates property liens related to construction at New Rise Renewables Reno facility.
Price Impact
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