£1.66 million Amended Funding Package Removes Convertible Debt and Strengthens Funding Flexibility
Hamak Strategy Limited (LSE: HAMA / OTCQB: HASTF) said it has amended and restated its funding arrangements with YA II PN Ltd, an institutional investor managed by Yorkville Advisors Global LP.
The company said the outstanding balance of its previous £2.5 million convertible loan note has been restated into a non-convertible loan of £1.66 million.
Hamak said the revised structure removes the conversion rights attached to the previous loan note, providing a clearer repayment pathway and reducing uncertainty for shareholders.
The interest rate remains at 4% per year, with no penalties or restructuring fees other than £20,000 of legal fees relating to the required documentation.
Amortisation will begin 60 days after entry into the new loan agreement and will follow an agreed repayment schedule over the following ten months.
Under the terms of the revised arrangement, Hamak may retain the first £110,000 of cash raised through its existing at-the-market facility. After that, 50% of ATM proceeds will be used to reduce the outstanding loan balance.
The company will also issue 165.8 million warrants to the lender, exercisable at 1 pence per share. Hamak said the exercise price represents a 54% premium to the offer price of its shares on July 1, 2026.
The warrants are exercisable for three years and can only be exercised on a cash basis. If exercised in full, they would generate approximately £1.66 million of gross proceeds for the company.
Chief strategy officer and executive director Mike Murphy said the restructuring reduces uncertainty for shareholders and strengthens Hamak’s funding position.
He said the revised structure gives the company greater flexibility to focus capital on advancing Akoko, progressing its West African gold portfolio and continuing to develop its Bitcoin treasury strategy.
Hamak said the package provides a cleaner platform from which to execute its strategy at an important stage in the company’s development.
