GigaMedia (GIGM, Financial) has finalized an agreement to acquire a $1.5 million principal amount of a convertible promissory note from Aeolus Robotics. Aeolus is a global entity focused on the development, production, and distribution of advanced robotics. The note, which carries an interest rate of 4.5% annually, is set to mature in 36 months.
Importantly, GigaMedia retains the option to convert some or all of the principal amount into Aeolus ordinary shares at a rate of 2 cents per share. This conversion option can be exercised at maturity, during prepayment, or upon the occurrence of specified events.
