MyEco Group Launches $2m Series 2 Convertible Note to Fund Growth

SECOS Group Ltd ( (AU:MCO) ) has issued an update.

MyEco Group has launched a Series 2 unsecured convertible note program of up to $2 million to fund its growth plans, offering a three-year term, 10.5% annual interest paid quarterly, and mandatory conversion at maturity. The notes, which are only available to sophisticated and professional investors under the company’s ASX placement capacity, can convert into ordinary shares at a 15% discount to the 14-day VWAP within a floor of 1.9 cents and a cap of 5.0 cents, potentially bolstering the company’s capital structure while diluting existing shareholders over time.

All shares issued on conversion will rank equally with existing equity, aligning noteholders with current shareholders in terms of rights and entitlements. By securing this targeted form of hybrid financing, MyEco Group is seeking to strengthen its balance sheet and support expansion in the sustainable packaging market without immediately issuing large amounts of equity, though the mandatory future conversion embeds a deferred equity component that investors will closely monitor.

More about SECOS Group Ltd

MyEco Group Ltd, listed on the ASX under the ticker MCO, is a developer and manufacturer of sustainable packaging and materials. The company focuses on supplying environmentally friendly alternatives to conventional packaging, targeting customers seeking to reduce their environmental footprint across a range of industrial and consumer applications.

Average Trading Volume: 283,333

Technical Sentiment Signal: Strong Sell

Current Market Cap: A$7.85M

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