Borealis Foods Secures Another $3M Convertible Note from Largest Shareholder Oxus Capital Amidst Distress

summarizeSummary

Borealis Foods obtained a $3 million convertible note from its largest shareholder, Oxus Capital, at a discount to market price, providing working capital but increasing potential dilution amidst severe financial distress.

check_boxKey Events · Financing and Capital Events · BRLS

• New $3 Million Convertible Note

  Borealis Foods issued a $3 million convertible promissory note to OXUS CAPITAL PTE LTD. ('Oxus'), its largest shareholder, on May 29, 2026.

• Discounted Conversion Price

  The note is convertible into common shares at a price of $1.45 per share, which is below the current market price of $1.59.

• Significant Potential Dilution

  The note could convert into approximately 2,068,966 common shares, representing a substantial portion of the company's market capitalization and adding to previous dilutive financings from Oxus.

• Shareholder Approval Required for Conversion

  Conversion of the note is subject to obtaining all required approvals, including potential shareholder approval under applicable Nasdaq Listing Rules, which the company is evaluating.

auto_awesomeAnalysis · BRLS · Manufacturing

Borealis Foods, already facing a 'going concern' warning and Nasdaq non-compliance, has secured an additional $3 million convertible promissory note from its largest shareholder, Oxus Capital. This financing, convertible at $1.45 per share (below the current market price), provides critical working capital but further increases potential dilution for existing shareholders and deepens Oxus Capital's influence. The conversion requires shareholder approval, adding uncertainty to the company's path forward.