GOME Retail Holdings Limited (SEHK:493) announced that it has entered into an subscription agreement with new investor Hongkong Walnut Street Limited for private placement of 5% convertible bonds due 2023 for gross proceeds of $200,000,000 on April 17, 2020. The bonds are convertible into 1,283,950,617 common shares representing 5.62% stake at a fixed conversion price of HKD 1.215 ($0.15676) per share. The bonds will be issued at par and matures in 3 years of issue, and maturity may be extended to 5 years at the option of investor. The bonds bears fixed interest of 5% per annum. The bonds will be direct, unsubordinated, unconditional and unsecured obligations of the company. The company will incur expenses of $3,200,000 and receive net proceeds of $196,800,000 in the transaction. The transaction is expected to be completed by May 15, 2020. The company may redeem in whole the bonds for the time being outstanding at the redemption amount.