TIAN RUIXIANG Holdings Ltd. 6-K: Major Debt Conversion Strategy Revealed

Here are the key insights extracted from the financial report:

Company Name: TIAN RUIXIANG Holdings Ltd.
Form Type: 6-K (Report of Foreign Private Issuer)
Filing Date: January 8, 2025
Commission File Number: 001-39925
Address: Room 918, Jingding Building, Xicheng District, Beijing, People's Republic of China

Event Date: January 6, 2025
Nature of Transaction: Entry into five agreements to convert debts into equity.
Debt Conversion: The company entered into agreements with five creditors to convert debts totaling $2,209,575 into shares.
Conversion Price: $1.63 per share (average closing price of the ordinary shares on Nasdaq for the 15 trading days leading up to December 31, 2024).
Total Shares Issued: 1,355,568 Class A ordinary shares (par value $0.025) will be issued to fully settle the debts.
Completion Date: Shares to be issued no later than January 26, 2025.

The shares will be issued under Regulation S of the U.S. Securities and Exchange Commission under the Securities Act of 1933.
The company's board of directors has approved the agreements and the associated transactions.

The report references five debt conversion agreements, which are detailed in the exhibits (Exhibits 10.1 - 10.5), each associated with a specific creditor.

CEO: Sheng Xu signed the document, indicating authorization and compliance with reporting requirements.

This debt conversion strategy may be aimed at strengthening the company's balance sheet by reducing liabilities while also increasing equity. It suggests a proactive approach in managing debt and enhancing financial stability. The conversion of debt to equity could also provide the creditors with a long-term stake in the company, aligning their interests with that of the company’s growth.

This summary encapsulates the critical financial and operational details from the SEC filing regarding TIAN RUIXIANG Holdings Ltd.