Friendly Corp. (TSE:8209) announced a private placement of 10 units of first round unsecured convertible bonds with warrants at ¥100,000,000 per unit for proceeds of ¥1,000,000,000 on August 1, 2014. The bonds will carry an interest of 4% per annum and will mature on June 30, 2019. The bonds will be convertible into common shares of the company at a conversion price of ¥70 per share. The interest on the bonds will be payable on March 31, June 30, September 30, and December 31 of every year. As part of the transaction, the company will issue 672 warrants exercisable into 672,000 common shares of the company at an issue price of ¥1 per share. The warrants issued as part of the transaction can be exercised from October 30, 2015 to June 29, 2019. The transaction will include participation from Regional Economy Vitalization Corporation of Japan(REVIC). The payment date is October 30, 2014. The company will issue the securities by way of third party allocation. The issuance of bonds is part of business rehabilitation plan. The transaction was approved by the board of directors of the company. The transaction is further subject to approval from the shareholders at the extraordinary general meeting of the company.

On September 18, 2014, the transaction was approved by the shareholders at the Extraordinary General Meeting of the company.

On October 30, 2014, Friendly Corp. closed the transaction.