Visionflex Group (ASX:VFX) has entered binding agreements with cornerstone investors John Plummer and Adcock Private Equity to convert about AU$3.3 million of outstanding debt into fully paid ordinary shares at AU$0.004 per share, representing a 100% premium to the last closing price, according to a Wednesday filing with the Australian bourse.

The conversion, set for Nov. 18, will cancel AU$2.7 million owed to John Plummer and AU$559,326 to Adcock Private Equity, resulting in shareholdings of around 42% and 23%, respectively, per the filing.

John Plummer's debt facility will be terminated, while AU$1 million will remain available under Adcock's facility, providing ongoing funding flexibility, the filing said.

Completion is subject to shareholder and regulatory approvals, with shares to be issued within 10 business days post-conversion, aligning investor interests and positioning the company for growth with a debt-free balance sheet, the filing added.