China First Capital secures $6.04 million facility for debt restructuring

China First Capital Group Holdings Limited, listed on the Stock Exchange of Hong Kong under the ticker 01269, signed a credit facility agreement with investor Deep Pulse Holdings Limited for up to $6.04 million. According to reports by Dealroom News and Sohu on October 13, 2026, the company designated the entire credit line to cover legal costs and financial advisory expenses required for its proposed debt restructuring plan.

The credit arrangement provides funding in two distinct tranches tied directly to milestones in the restructuring process. China First Capital is authorized to draw up to $1.21 million prior to obtaining approval for the debt restructuring plan. The remaining $4.84 million portion of the total facility becomes available for drawdown only after the debt restructuring plan is formally approved.

The financial facility carries an annual interest rate of 0.5 percent. According to the announcement details, the final settlement date for the facility is fixed at eight years following the date on which the restructuring plan officially takes effect.

To fulfill its settlement obligations under the credit agreement, China First Capital has been granted flexibility regarding the payment mechanism. The company may elect to complete the final settlement in cash or through the issuance of new company shares. If China First Capital opts to issue shares to clear the facility, the transaction is subject to a strict ceiling, with the share issuance capped at 30 percent of the total share capital of the company.

The credit agreement also outlines the priority of claims held by different creditors involved with the firm. The debt facility supplied by Deep Pulse Holdings Limited is explicitly subordinated to existing secured obligations that China First Capital owes to Champion Sense and Principal Global.

The October 13, 2026, agreement ensures that China First Capital can fund the professional advisory services necessary to carry out its planned balance sheet restructuring.