AVAX One Cut Convertible Debt to $970,000 at End of September
Key Facts
AVAX One said in its third-quarter filing that it reduced debt by more than $14.9 million during the period, but its convertible debt stood at about $970,000 on September 30, 2026. That figure sets limits on what can be confirmed about the debt position on that date, as the filing does not establish that the balance reached zero. In an announcement issued on October 7, the company said convertible debt had fallen to about $970,000. The reduction came through steps that included converting notes into shares, repaying debt and retiring obligations in exchange for common stock. Details of the November 10 announcement about eliminating all debt and October purchases could not be verified in a reliable open source.
The company said in its third-quarter results announcement that about $7.1 million of convertible notes were converted into common stock during the quarter. It also repaid about $7.4 million of debt and retired $0.4 million in debt in exchange for common stock. These figures show that liabilities were reduced through several channels, including debt-to-equity conversion, repayment and retirement in exchange for shares. The company said it eliminated more than $14.9 million in debt in the third quarter. However, the September-end balance showed that some convertible debt remained outstanding after those measures.
On share repurchases, AVAX One said it bought 333,500 shares in the third quarter, with the count adjusted for the 1-for-12 reverse stock split. The program was carried out as part of the debt reduction effort, but it does not establish how many shares the company bought in October. The second-quarter report showed that the company had bought 402,537 shares on the open market through June 30, at a total cost of $3.9 million. It then bought an additional 57,503 shares between July 1 and August 12, for $0.3 million. Those figures relate to earlier periods and do not represent October’s total.
The board approved a share repurchase program of up to $40.0 million in November 2025, for a 12-month period, according to the second-quarter report. The program is subject to contractual requirements and periodic board review, the report said. Pete Wiley, interim chief executive officer and chief operating officer, said the third quarter saw “a significant reduction in our outstanding convertible debt and continued execution of our share repurchase program.” In another disclosure, he said the company had simplified its balance sheet and maintained financial flexibility. Wiley also linked the company’s stance on repurchases to what he described as a gap between the share price and its intrinsic value.
Wiley said the company intends to continue repurchases as long as it sees that gap persisting, while the filing states that the company is not obligated to buy a specific number of shares. The program allows it to adjust, suspend or terminate purchases at any time. In trading, AVAX One shares closed at $4.16 on November 9, 2026, according to EL7 data. As part of its broader strategy, the company said in its quarterly report that it signed a letter of intent on April 20 to develop a powered land site in Alberta capable of supporting a 10-megawatt AI edge computing and high-performance computing facility. It said it was evaluating potential sites for the first project.