Document background
The Convertible Loan Note Agreement is primarily used by companies seeking interim or bridge financing, typically in anticipation of a future equity funding round or exit event. It offers flexibility to both investors and companies by deferring the company valuation decision while providing immediate access to capital. This document, governed by Irish law, details the loan terms, conversion mechanisms, investor protections, and company obligations. It includes specific provisions required under Irish corporate and securities laws, making it suitable for Irish-registered companies seeking alternative financing methods. The agreement typically includes provisions for interest payments, conversion triggers (such as qualified financing rounds or exit events), conversion price calculations, and investor rights both pre- and post-conversion.
