Blue Ocean Acquisition Corp Raises Funds through Convertible Note Purchase Agreements and Sponsor Warrant Assignment Agreements

Blue Ocean Acquisition Corp (NASDAQ:BOCNU) recently filed a Current Report with the Securities and Exchange Commission (SEC) detailing its actions to secure funds in connection with its Business Combination with TNL Mediagene. The company raised $4,355,000 through the issuance of subordinated unsecured convertible promissory notes (Convertible Notes) to third-party investors on November 22, 2024.

The Convertible Notes, which will accrue interest at 10% per annum and mature on December 7, 2024, will be automatically converted into TNL Mediagene ordinary shares upon the closing of the Business Combination. In addition to the Convertible Notes, Blue Ocean Sponsor LLC entered into Sponsor Warrant Assignment Agreements with investors, transferring Blue Ocean’s private placement warrants to the investors as PIPE Warrants in exchange for purchasing the Convertible Notes.

Investors who purchased the Convertible Notes will have registration rights to facilitate the resale of the converted shares. TNL Mediagene has agreed to file a registration statement with the SEC for this purpose within 45 days following the Business Combination’s closing.

Furthermore, on November 25, 2024, TNL Mediagene signed a securities purchase agreement for convertible notes issuance and an ordinary share purchase agreement for an equity line of credit. The company has the option to issue senior unsecured convertible notes totaling up to $11,944,444 to designated investors, with initial notes expected to be issued shortly after the Business Combination.

The convertible notes under the agreement are convertible into TNL Mediagene’s ordinary shares and rank senior to existing and future obligations of the company. TNL Mediagene also has entered into a registration rights agreement with investors under the note purchase agreement to provide customary registration rights.

In a related transaction, TNL Mediagene signed an equity line of credit agreement with a third-party investor allowing for the purchase of up to $30,000,000 in ordinary shares. The agreement provides TNL Mediagene the flexibility to direct the investor to purchase shares under specified conditions.

The definitive agreements related to these financing arrangements have been filed with the SEC alongside additional details about the Business Combination. Shareholders and interested parties are encouraged to review relevant SEC filings and the definitive proxy statement/prospectus for comprehensive information about the transaction.

This news is underpinned by forward-looking statements cautioning investors and stakeholders about potential risks and uncertainties related to the Business Combination and future financial performance. More detailed participant information and solicitation details can be found in the SEC filings and the definitive proxy statement/prospectus. The report does not constitute a solicitation or offer for securities.

News Source: SEC Filing – Blue Ocean Acquisition Corp (NASDAQ:BOCNU)

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Blue Ocean Acquisition’s 8K filing here.

Blue Ocean Acquisition Company Profile

Blue Ocean Acquisition Corp. does not have significant operations. It focuses on effecting a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses or entities. The company intends to focus within the consumer Internet sector in segments, such as online marketplaces, education and advertising technology, and direct-to-consumer e-commerce businesses in Asia, Latin America, and North America.