RestructuringJun 1, 2026, 08:07 AM
zSpace Restructures $12M Debt into Common & Preferred Stock
AI Summary
zSpace, Inc. has completed a comprehensive debt restructuring, converting approximately $12.0 million of outstanding debt owed to 3i, LP and Fiza Investments Limited into a combination of Common Stock and a newly created Series P-2 Convertible Preferred Stock. This strategic move aims to strengthen the company's balance sheet by reducing its debt obligations. Additionally, the remaining senior convertible note held by 3i was amended, introducing a 9-month conversion moratorium and a structured repayment schedule, while the terms of the existing Series P Convertible Preferred Stock were also modified.
Key Highlights
- zSpace restructured $12.0 million of outstanding debt owed to 3i, LP and Fiza Investments Limited.
- 3i converted $2.0 million of debt into Common Stock at a fixed conversion price of $0.2385 per share.
- Fiza converted $7,201,694.89 in principal into Common Stock at $0.2385 per share.
- Fiza converted $2,802,220.87 in accrued interest into 2,802,221 shares of new Series P-2 Preferred Stock at $1.00 per share.
- 3i's remaining senior convertible note was amended, including a 9-month conversion moratorium.
- The amended 3i note will be repaid in 9 equal monthly installments starting 9 months after the closing date.
- The authorized shares of Series P Convertible Preferred Stock were reduced from 5,000,000 to 2,000,000, and its conversion price was set to $1.00 per share.
- A new Series P-2 Convertible Preferred Stock was created to facilitate the Fiza debt conversion.
Price Impact
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