Leo Holdings Corp. II announced a private placement of convertible promissory notes for gross proceeds of $240,000 on June 12, 2023. The transaction included participation from returning investor, Leo Investors II Limited Partnership.

The note does not bear interest and matures upon closing of the company's initial business combination, that is, July 12, 2023. In the event that the company does not consummate a business combination, the note will be repaid only from amounts remaining outside of the company's trust account, if any. Up to $1,500,000 of the total principal amount of the note may be converted, in whole or in part, at the option of the lender into warrants of the company at a price of $1.50 per warrant, which warrants will be identical to the private placement warrants issued to the investor at the time of the initial public offering of the company.