---
title: "KIDZ AI Amends Note Purchase Pact and Sells $600,000 Additional Convertible Notes"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/288070789.md"
description: "KIDZ AI amended its $500 million senior secured convertible notes agreement and completed an additional closing for $600,000 in new notes. The amendment establishes a control account for future proceeds until an Available Cash Test is met, with remaining funds allocated to working capital and AI capital expenditures. The new notes carry a 7% interest rate, mature in two years, convert at 120% of the prior day's close, and are secured by first-priority liens on company assets."
datetime: "2026-05-29T12:43:01.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/288070789.md)
  - [en](https://longbridge.com/en/news/288070789.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/288070789.md)
---

# KIDZ AI Amends Note Purchase Pact and Sells $600,000 Additional Convertible Notes

KIDZ AI amended its Securities Purchase Agreement governing up to $500 million of senior secured convertible notes and simultaneously completed an Additional Closing for $600,000 of new notes. The amendment clarifies that proceeds from future Additional Closings will be held in a control account until the company meets an Available Cash Test, with remaining funds allocated to working capital and AI-focused capital expenditures; deposits are waived while the test is met. The newly issued notes carry 7% interest, mature in two years, convert at 120% of the prior day’s close, and are secured by first-priority liens on company and subsidiary assets, including cryptocurrency acquired with proceeds.

**Agreement 1: KIDZ AI Amends $500 Million Note Purchase Agreement, Tightens Cash Controls for Additional Closings**

-   **Agreement type**: First Amendment to Securities Purchase Agreement for senior secured convertible notes
-   **Counterparty**: Undisclosed investor
-   **Signed / Effective**: May 28 2026 / same
-   **Reason**: Clarify cash controls and enable AI-focused capital deployment

**Agreement 2: KIDZ AI Issues $600,000 Senior Secured Convertible Notes at 7% in Additional Closing**

-   **Agreement type**: Sale of Additional senior secured convertible notes
-   **Counterparty**: Undisclosed investor
-   **Signed / Effective**: May 28 2026 / same
-   **Duration / Termination**: 2 years
-   **Reason**: Strengthen liquidity for AI operations and capex

Original SEC Filing: Classover Holdings, Inc. \[ KIDZ \] - 8-K - May. 29, 2026

**Disclaimer**

This is an AI-powered summary. It may contain inaccuracies. Consider verifying important information with the source. Please note this summary is solely based on documents filed with the SEC.

### Related Stocks

- [KIDZ.US](https://longbridge.com/en/quote/KIDZ.US.md)
- [KIDZW.US](https://longbridge.com/en/quote/KIDZW.US.md)

## Related News & Research

- [Stocks Set to Extend Rebound Amid AI Dip-Buying](https://longbridge.com/en/news/289175557.md)
- [Oracle Missed On Cloud Revenue: Why AI ETFs Are Unfazed](https://longbridge.com/en/news/289492396.md)
- [Geico's famous gecko is getting an AI makeover](https://longbridge.com/en/news/289321708.md)
- [C-suites have decided: it's time to put AI on a diet](https://longbridge.com/en/news/289302426.md)
- [COIN Stock Alert: What to Know as Coinbase Launches AI Trading Tool](https://longbridge.com/en/news/289629146.md)