Live Company Group PLC (AIM:LVCG) said it has agreed on several measures to substantially reduce outstanding debt and provide future working capital, including a proposed £500,000 share issue at 0.1p each.
The company added in the statement to investors that it is also discussing with David Ciclitira the "level and form of his ongoing financial support", having reached an agreement to convert his existing debt of £350,000 with the company into ordinary shares at 3p per share.
Agreements have also been made with other directors to convert monies owed to them into shares at the same price, with outstanding directors fees totalling £200,000 agreed.
With the company working on cash preservation and cost reduction it said it has also agreed for £1.85 million of debt held by creditors to be converted at the same share price, with agreements in principle for the remaining creditors' outstanding balances of roughly £2.7 million to be settled over 18 months.
The StartArt acquisition announced in July is to be cancelled too, meaning Live Co will no longer pay £500,000 cash and £519,800 in shares but will retain a 19.94% interest.
Discussions are also ongoing with a potential investor "concerning a substantial investment in the company", potentially linked to bringing new complementary business lines to the company, though nothing has yet been agreed.