Munic Secures Cash Flow Until 2027 with €1M Financing from Iris
Automotive embedded technology specialist Munic has signed a new amendment to its convertible bond financing agreement, restructuring the repayment of a €1.1M debt. Concurrently, the company has entered into an equity financing agreement with investor IRIS for a maximum nominal amount of €1M over 36 months, aimed at extending its cash flow horizon until July 2027.
Rescheduling of Loan Balance and Capital Increase
Munic has signed a new amendment to its convertible bond financing contract with Odyssey Venture and Aaron Solomon (CEO), allowing the repayment schedule of the loan balance, initially due on July 31, 2027, to be staggered. In parallel, Odyssey Venture carried out a capital increase by debt offset for a total amount of €333k, corresponding to matured debts and interests. This increase was set at a price of €0.42221 per share, representing 90% of the lowest volume-weighted average price observed over ten trading days prior to July 22, 2026.
Convertible Bonds into Shares Over 36 Months with IRIS
The new financing line with IRIS takes the form of bonds convertible into ordinary shares (ORA) for a maximum nominal amount of €1M. The 400 issuance warrants were issued free of charge and subscribed by IRIS on July 23, 2026, each warrant entitling the holder to subscribe to an ORA of €2,500. The financing will be spread over 36 months, with a first tranche of €500k already drawn. The ORAs will bear no interest, with a maturity of 36 months. The repayment price in shares will correspond to 90% of the lowest VWAP of a session observed during the ten trading days preceding the repayment date. It cannot be lower than the volume-weighted average of the last three sessions, reduced by a 30% discount, nor lower than the nominal value of the share.
Extension of Cash Flow Horizon Until July 2027
These operations follow the announcement on April 30, 2026, that Munic had a financing horizon until July 2026. The accounts for the fiscal year 2025 were subject to an auditor's reservation concerning the continuity of operations. The rescheduling of the debt and the drawing of the first tranche of financing aim to provide the Company with resources to support its development, commercial actions, and research and development activities, covering cash flow needs until July 2027.
