Zhibao Technology Raises Up to $6.67 Million via Senior Secured Convertible Notes

Zhibao Technology Inc. Class A ( (ZBAO) ) has shared an announcement.

On April 8, 2026, Zhibao Technology Inc. signed a securities purchase agreement with a third-party investor for a private placement of up to $6.67 million in senior secured convertible notes, featuring a 10% original issue discount and conversion into Class A ordinary shares at an initial price of $0.87 per share. On April 10, 2026, the company closed the sale of an initial $3.33 million note, secured by U.S. assets and a controlled deposit account, with the structure allowing two additional tranches subject to trading, registration, and equity conditions, while imposing limits on dilutive issuances and granting the investor participation rights in future financings, signalling a significant new funding source but also tighter capital-structure constraints for existing shareholders.

The notes, bearing 7% annual interest and maturing 12 months after the initial closing, rank senior to most other company debt and include installment conversions tied to market VWAP, potentially increasing equity issuance over time if share prices weaken. R.F. Lafferty & Co. acted as exclusive placement agent under a best-efforts mandate, earning a 7.5% cash fee on proceeds, indicating institutional involvement in the deal and underscoring Zhibao’s reliance on structured, secured convertible financing to meet its near-term capital needs while managing investor concentration caps of up to 9.99% ownership.

The most recent analyst rating on (ZBAO) stock is a Hold with a $0.70 price target. To see the full list of analyst forecasts on Zhibao Technology Inc. Class A stock, see the ZBAO Stock Forecast page.

Spark’s Take on ZBAO Stock

According to Spark, TipRanks’ AI Analyst, ZBAO is a Neutral.

The score is primarily held down by weak financial performance—especially persistent negative operating/free cash flow, a sharp 2025 revenue decline, and a return to sizable losses alongside higher leverage vs. equity. Technicals add further pressure with the price below all key moving averages and negative MACD. Valuation provides limited support due to a negative P/E tied to losses and no indicated dividend yield.

To see Spark’s full report on ZBAO stock, click here.

More about Zhibao Technology Inc. Class A

Zhibao Technology Inc., a Cayman Islands–incorporated company with principal offices in Shanghai, operates in the technology and financial services space, issuing Class A ordinary shares listed in the U.S. capital markets. The company taps cross-border financing structures, including convertible securities, to support its growth and strengthen its balance sheet in a competitive funding environment.

Average Trading Volume: 159,945

Technical Sentiment Signal: Sell

Current Market Cap: $24.65M

For detailed information about ZBAO stock, go to TipRanks’ Stock Analysis page.