B. Riley Financial (RILY) said Monday it entered into an exchange agreement with an institutional investor that will reduce its outstanding debt by about $12 million.
The investor agreed to exchange roughly $22 million in outstanding senior notes for $10 million in newly issued 8% senior secured second lien notes due Jan. 1, 2028, the company said.
B. Riley will also issue warrants to purchase 40,000 common shares at an exercise price of $10 per share. The warrants will be exercisable for seven years from the date of issuance, the company added.
Shares of B. Riley Financial were down more than 4% in recent trading.
Price: 3.17, Change: -0.14, Percent Change: -4.23
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.