Nam Tai Property Inc. announced that it has entered into agreement for a private placement of promissory notes for gross proceeds of $20,000,000 on January 11, 2022. The transaction will include participation from IsZo Capital LP, a fund managed by Iszo Capital Management LP for a note of $5,000,000, which may be increased by an additional $10,000,00 and IAT Insurance Group, Inc. for a note of $15,000,000, which may be increased by an additional $10,000,000. Each note accrues interest at a rate of 10% per annum, to be paid in-kind quarterly by increasing the then outstanding principal balance. The notes will mature on January 11, 2024 but may be prepaid, in whole or in part, at the option of the company. Upon repayment of the outstanding principal under each Note (or any portion thereof), commencing six months after the initial funding, the company is required to pay an additional rate on the principal amount being repaid, ranging from 1.5% to 6% with the rate increasing on later repayment dates. The notes are issued at a 2% discount.

On the same date, the company received $1,250,000 from IsZo Capital LP, a fund managed by Iszo Capital Management LP and $3,750,000 from IAT Insurance Group, Inc. in its first tranche.