• xReality Group to convert $4.628 million debt to equity with largest shareholder Birkdale Holdings
• Shares to be issued at $0.05 per share, a 39% premium to closing price
• Conversion to strengthen XRG's balance sheet and support growth strategy

xReality Group Limited (ASX:XRG) has announced that it has entered into a conditional debt repayment and subscription agreement with its largest shareholder, Birkdale Holdings (Qld) Pty Ltd. Under the agreement, the current debt owing to Birkdale of approximately $4.628 million (including interest and expenses) will be converted to 92,565,249 fully paid ordinary shares in the company at a subscription price of $0.05 per share, representing a 39% premium to the closing price on 4th March 2025. The conversion is subject to shareholder approval, which the company intends to seek at an extraordinary general meeting. The company has appointed an independent expert to opine on whether the proposed placement is in the best interests of shareholders. CEO Wayne Jones stated that Birkdale's continued support and decision to convert the debt at a premium reflects confidence in the company's growth and the value of Birkdale's strategic insights and sector relationships. The conversion will strengthen XRG's balance sheet and support the company's growth strategy as it scales its Operator XR platform.

The company's CEO stated that Birkdale's continued support and decision to convert the debt at a premium reflects confidence in the company's growth and the value of Birkdale's strategic insights and sector relationships. The conversion will strengthen XRG's balance sheet and support the company's growth strategy as it scales its Operator XR platform.