Holista Colltech Ltd Secures A$370,724 Convertible Loan for ProImmune Settlement
Holista secures A$370,724 convertible loan to settle ProImmune matter
Holista Colltech Limited (ASX:HCT) has entered into a binding terms sheet for a convertible loan of A$370,724 from Malaysian lender Powerwind Plantation Sdn Bhd. The proceeds are earmarked to fund the settlement of amounts owing to ProImmune Company LLC (“ProImmune”).
Announced on 9 July 2026, the arrangement addresses an outstanding liability that has weighed on the Company. Holista has stated it will provide further updates on the settlement of the ProImmune matter and its reinstatement to quotation as they occur.
The development frames a defined path toward resolving an outstanding obligation, though the timing and outcome of any reinstatement remain subject to future updates.
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Breaking down the convertible loan terms
The facility carries a fixed interest rate and a conversion feature exercisable at the Lender’s election. The table below summarises the key financial and structural terms as disclosed by the Company.
| Term | Detail |
|---|---|
| Principal | A$370,724, unsecured |
| Interest | 8% per annum |
| Conversion price | A$0.07 per share |
| Shares on conversion | 5,296,055 shares |
| Conversion trigger | At the election of the Lender |
| Interest election | Cash or additional shares at the conversion price |
| Condition | Conversion subject to shareholder approval |
The loan is unsecured. Should the Lender elect to convert, the accrued interest may be taken in cash or in additional shares at the same conversion price. The conversion feature introduces potential future dilution, but only if the Lender elects to convert and shareholders grant approval.
What is a convertible loan and why it matters here
A convertible loan is a form of debt that can later convert into equity, meaning shares, at a preset price rather than being repaid in cash. This structure gives a company access to capital now while offering the lender the option to become a shareholder later.
The mechanics in plain terms:
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The Company receives cash now as a loan.
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Interest accrues at a fixed rate, here 8% per annum.
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The Lender can later choose to convert the debt into shares instead of being repaid in cash.
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Conversion at A$0.07 per share requires shareholder approval before it can occur.
For a company needing capital to settle an obligation, this arrangement funds the liability without the immediate pressure of a cash repayment. For investors, it means the ProImmune amount is funded, while a defined dilution scenario remains to monitor if conversion proceeds.
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Next steps toward settlement and reinstatement
The forward path, based on what the Company has disclosed, centres on applying the loan proceeds and securing the necessary approvals.
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Proceeds will be applied to settling the amounts owing to ProImmune.
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Conversion of the loan requires shareholder approval.
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The Company has stated it will provide further updates on the settlement of the ProImmune matter and its reinstatement to quotation as they occur.
The announcement was authorised for release by the Board of Directors.
Holista Colltech is a Perth-based innovator in health and wellness solutions, listed on the Australian Securities Exchange. The Company operates across four core business divisions: Dietary Supplements, Healthy Food Ingredients, Ovine Collagen, and Infection Control Solutions/Agriculture.
The convertible loan sits alongside other recent capital activity at the Company, including the binding JV agreement struck in May 2026 to fund the Holista Collie Collagen Facility, where external partner SCC is contributing approximately A$1.6 million to cover commissioning and working capital.
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