Thank you to all of the lenders in the TrueFi pool that owns the loan to Albo/delt.ai (the “Company”). Since our last communication regarding the restructuring of the loan that was due to be repaid at the beginning of July, 20204 we have been working behind the scenes to facilitate payments from the Company as quickly and efficiently as possible. As we have emphasized in the past, we have been privately and confidentially engaged in an ongoing intensive and complex negotiation post the restructuring of the loan which was announced by us in August 2024.
Based on the August restructuring, the Company was to have made payments of the interest that was due on July 2, 2024 as well as principal payments that would have reduced the outstanding principal balance from the US$4,000,000 to $2,600,000.
Based on continuing challenges the Company faced in securing more efficient debt capital to sustain and grow their business, Albo/delt.ai quickly fell behind on the restructured terms. Through intensive negotiations between Archblock, acting as agent for the lenders, and the Company and through significant progress by the Company in securing a new lending facility, we are pleased to announce that we have recovered the following amounts:
Principal payments in a series of payments totaling US$1,200,000.
The interest payment which was due in July 2024 for US$226,849.32
The Company remains behind schedule on payments under the terms of the August 2024 restructuring and owes an additional $200,000 of principal payments and the 23% interest payment on the balances outstanding between July 2, 2024 and September 30, 2024 (the first quarterly period post the restructuring). We are working diligently with the Company to secure payment of those amounts as soon as possible.
Notwithstanding the amounts currently overdue, Archblock will arrange to distribute the interest and principal payments we have received to original lenders of record to the pool in a series of transactions, net of Archblock’s expenses to act as agent in this matter. It is currently our intention to distribute US$1,200,000 in the next two weeks to all holders of the loan who will receive their pro-rata share of the originally committed amounts. We will send a communication to the Forum indicating the timing and the final amount to be distributed.
As we stated in August, given the complexity of this situation and the importance of preserving confidentiality of the details of the financial standing of the Company, Archblock going forward will attempt to answer questions about the process and the loan to verified holders of the loan who make inquiries to our hello@archblock.com address.
Thank you again for your questions and patience while we continue to manage this ongoing sensitive situation to reach the best possible outcome for the lenders.