Funcom seeks to extend 10% convertibles maturity, cut conversion price

By Marisa Wong

Morgantown, W.Va., Oct. 13 – Funcom NV is seeking bondholders’ approval of amendments to its 10% senior convertible bonds, issue 2011/2014, according to a notice from bond trustee Nordic Trustee ASA.

Funcom’s major creditor, KGJ Investments SA, Sicav-SIF, which holds $6 million of the bonds, has offered to extend the maturity date of the bonds to Dec. 15, 2016. Funcom has accepted that offer.

The issuer is asking bondholders to approve the extension of the maturity date to Dec. 15, 2016 from Dec. 22, 2015.

The company is also proposing to adjust the conversion price to $0.24 per share from $0.37 per share.

In addition, the company is seeking to add a prepayment option.

A bondholders’ meeting is scheduled for Oct. 26 in Oslo.

To approve the proposal, holders of at least 75% of the bonds represented at the meeting must vote in favor of the amendments.

In order to have a quorum, at least half of the bonds must be represented at the meeting.

Funcom is a video game developer based in Oslo.

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