PacificNet Inc., gaming technology provider for land-based, online and mobile game operators in Asia, announced on Thursday it has entered a settlement agreement with certain bondholders.
Earlier this year, bondholders filed an involuntary petition seeking Chapter 11 relief in Delaware federal bankruptcy court. The settlement states that PacificNet Inc. will amend and restate the terms of certain convertible debentures in the aggregate principle amount of $6.2 million.
Additionally, the company will make ten monthly payments under the debentures and also apply sums due under certain receivables toward payment. All obligations of the Company to the bondholders under the Debentures are due on or before July 15, 2009.
”We are very glad to settle our differences with the bondholders so we can move forward to focus on the Asian Gaming Technology Strategy,” said Victor Tong, president of PacificNet Inc., in a prepared statement. “We believe gaming is recessionary proof due to the increased wealth across Asia and China and that PacificNet is well-positioned to take advantage of the market in the future.”