Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 1540

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 1540
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,348 of interest into 2,349,380 shares of Common
Stock at a conversion price of $0.084 per share, realizing a loss on conversion of $89,527. Such conversion caused a reduction in
the $0.345 conversion price of the notes described above to $0.084 (see note 14).

The
balance of the Mercer Note plus accrued interest at December 31, 2024 was $1,051,013.

Red
Road Holdings Corporation

●On September 9, 2023,
the Company closed a transaction with Red Road Holdings Corporation (“RRH”) pursuant to which the Company received net proceeds
of $125,000, after an original issue discount and fees of $21,900 in exchange for the issuance of a $146,900 Convertible Note
(“RRH Note 1”), bearing interest at 13%, which interest was earned on issuance of the note, an effective interest rate
of 29.3%, and matured on June 15, 2024. The RRH Note 1 had mandatory monthly repayments of $18,444 which commenced on October
14, 2023. The RRH Note 1 was convertible into shares of Common Stock at a variable conversion rate of 60% of the lowest trading
price twenty trading days before conversion.

The RRH note 1 was repaid in full during the quarter ended June 30, 2024.

F-21

INNOVATIVE PAYMENT
SOLUTIONS, INC.

NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS

13CONVERTIBLE NOTES PAYABLE
(continued)

Red
Road Holdings Corporation (continued)

●On October 19, 2023,
the Company closed a transaction with RRH pursuant to which the Company received net proceeds of $60,000, after an original issue discount
and fees of $13,450 in exchange for the issuance of a $73,450 Convertible Note (“RRH Note 2”), bearing interest
at 13%, which interest was earned on issuance of the note, an effective interest rate of 27.8%, and matured on July 30, 2024.
The RRH Note 2 had mandatory monthly repayments of $9,222 which commenced on November 30, 2023. The RRH Note 2 was convertible into
shares of Common Stock at a variable conversion rate of 60% of