RYVYL Inc. converted $4.0 million in debt into 7.1 million shares, finalizing its anti-dilution strategy.
Quiver AI Summary
RYVYL Inc. announced that it has completed the conversion of its remaining 8% Senior Convertible Note, totaling $4.0 million in principal and $136,000 in accrued interest, into 7.1 million shares of common stock. This move is part of RYVYL's anti-dilutive strategy aimed at restructuring its balance sheet, which previously included the redemption of Series B Convertible Preferred Stock and partial conversion of another note to avoid significant dilution. The company, focused on innovative electronic payment solutions, aims to enhance financial transactions for various markets while ensuring security and efficiency. They continue to develop applications for a comprehensive financial product suite, leveraging technology for rapid transaction processing.
Potential Positives
- RYVYL successfully completed the conversion of $4.0 million in Senior Convertible Notes into 7.1 million shares of common stock, strengthening its balance sheet.
- The company avoided over 90 million shares of potential dilution through its strategic restructuring efforts.
- The conversion adds over $50 million of additional paid-in capital to common shareholders, enhancing shareholder value.
- RYVYL's focus on innovative payment transaction solutions positions it competitively in the electronic payments market.
Potential Negatives
- Conversion of the Senior Convertible Note into common stock indicates a significant dilution of existing shareholders' equity, as 7.1 million new shares will be added to the market.
- The completion of this conversion follows a significant payout to redeem preferred stock, suggesting potential liquidity challenges or high debt levels that led to the need for restructuring.
- The reliance on forward-looking statements may indicate uncertainty about the company's future performance, which could concern investors regarding the accuracy of forecasts and the overall financial health of the company.
FAQ
What is the recent financial transformation at RYVYL Inc.?
RYVYL Inc. converted $4 million of its 8% Senior Convertible Note into 7.1 million shares, completing its debt-to-equity restructuring.
How did RYVYL's debt conversion impact potential dilution?
The conversion avoided over 90 million shares of potential dilution, significantly improving the company's equity structure.
What is RYVYL Inc. known for?
RYVYL is a leader in payment transaction solutions, focusing on innovative electronic payment technologies for various markets.
What major action did RYVYL take in January 2025?
RYVYL redeemed its Series B Convertible Preferred Stock valued at $53.1 million and part of the Note, enhancing financial stability.
Where can more information about RYVYL be found?
More information about RYVYL can be found on their official website, www.ryvyl.com.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$RVYL Hedge Fund Activity
We have seen 8 institutional investors add shares of $RVYL stock to their portfolio, and 9 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- HEIGHTS CAPITAL MANAGEMENT, INC removed 120,026 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $118,825
- MARINER, LLC removed 77,782 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $77,004
- XTX TOPCO LTD added 18,284 shares (+inf%) to their portfolio in Q1 2025, for an estimated $18,101
- CITADEL ADVISORS LLC added 18,210 shares (+inf%) to their portfolio in Q1 2025, for an estimated $18,027
- EWA, LLC removed 12,047 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $11,926
- RENAISSANCE TECHNOLOGIES LLC added 8,600 shares (+28.3%) to their portfolio in Q1 2025, for an estimated $8,514
- GEODE CAPITAL MANAGEMENT, LLC added 4,835 shares (+10.8%) to their portfolio in Q1 2025, for an estimated $4,786
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
SAN DIEGO, CA, June 06, 2025 (GLOBE NEWSWIRE) --
RYVYL Inc. (NASDAQ: RVYL) ("RYVYL” or the "Company"), a leading innovator of payment transaction solutions leveraging electronic payment technology, announced the securityholder of its remaining 8% Senior Convertible Note ("Note"), has converted the entire outstanding principal balance of $4.0 million and accrued interest of $136,000 into 7.1 million shares of common stock.
"We’ve pursued an anti-dilutive strategy to restructure our balance sheet, and this final debt to equity conversion successfully completes that process," said George Oliva, CFO of RYVYL. "In January 2025, we redeemed our Series B Convertible Preferred Stock with a liquidation value of $53.1 million and $14.3 million of the Note for a payment of $13.0 million, which avoided over 90 million shares of potential dilution and converted over $50 million of additional paid in capital from Preferred Stock to Common shareholders.”
About RYVYL
RYVYL Inc. (NASDAQ: RVYL) was born from a passion for empowering a new way to conduct business-to-business, consumer-to-business, and peer-to-peer payment transactions around the globe. By leveraging electronic payment technology for diverse international markets, RYVYL is a leading innovator of payment transaction solutions reinventing the future of financial transactions. Since its founding as GreenBox POS in 2017 in San Diego, RYVYL has developed applications enabling an end-to-end suite of turnkey financial products with enhanced security and data privacy, world-class identity theft protection, and rapid speed to settlement. As a result, the platform can log immense volumes of immutable transactional records at the speed of the internet for first-tier partners, merchants, and consumers around the globe.
www.ryvyl.com
Cautionary Note Regarding Forward-Looking Statements
This press release includes information that constitutes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on the Company’s current beliefs, assumptions and expectations regarding future events, which in turn are based on information currently available to the Company. Such forward-looking statements include statements that are characterized by future or conditional words such as "may," "will," "expect," "intend," "anticipate," “believe," "estimate" and "continue" or similar words. You should read statements that contain these words carefully because they discuss future expectations and plans, which contain projections of future results of operations or financial condition or state other forward-looking information.
By their nature, forward-looking statements address matters that are subject to risks and uncertainties. A variety of factors could cause actual events and results to differ materially from those expressed in or contemplated by the forward-looking statements. Risk factors affecting the Company are discussed in detail in the Company’s filings with the SEC. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.
IR Contact:
David Barnard, Alliance Advisors Investor Relations, 415-433-3777,
ryvylinvestor@allianceadvisors.com
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