Uxin Limited (NASDAQ: UXIN) disclosed that it has signed a binding term sheet with two potential investors. The firm has inked the binding term sheet on April 1, 2021. Following the conclusive agreement, the competent investors have confirmed the signing of pacts with the firm. The firm will ink deals with investors for the subscription of senior convertible preferred shares.
The binding term sheet is a no-obligation pact that demonstrates the fundamental conditions and requirements of financing. The parties who signed the binding term sheet when agrees to sign a pact on the specifics outlined in the term sheet, a binding pact or deal that is in accordance with the term sheet specifics is sketched up.
The signing of the term sheet sends the stock of the firm soaring 14.53% with a heavy volume of 2.96 million during the pre-market trading session of Thursday.
The financial benefits of the final agreement include the total investment amount of possibly up to US$300 million. It has been disclosed that the execution of a possible deal is conditional to the finalization of conclusive pacts between the parties. Furthermore, the execution of the final agreement is also dependent on the certain traditional closure conditions which must be specified within.