Eshallgo (EHGO) said Monday it has struck a deal with an unnamed investor to issue convertible debentures in a total principal amount of up to $5 million.

The debentures will mature on Nov. 28, 2025, the company added.

Eshallgo said the initial closing of $1.5 million took place on Friday, while the second closing of $2 million will occur after it files an initial registration statement with the US Securities and Exchange Commission registering the resale of the class A ordinary shares upon conversion of the debentures.

The third closing of $1.5 million will take place after the registration statement is effective, it said.

Shares of the company rose more than 14% in recent Monday trading.

Price: 4.18, Change: +0.53, Percent Change: +14.52