SAN JOSE, Calif., June 01, 2026 (GLOBE NEWSWIRE) -- zSpace, Inc. (OTC:ZSPC) ("zSpace" or the "Company"), a leading provider of immersive augmented and virtual reality learning technology, today announced that it has entered into agreements with two of its lenders to convert more than $12 million in outstanding debt into equity. The transactions, which closed simultaneously, eliminate the related debt obligations and meaningfully strengthen the Company's financial position.

Under one agreement, Fiza Investments Limited converted approximately $10 million in total debt, consisting of approximately $7.2 million in principal and $2.8 million in accrued interest into shares of zSpace common stock at 150% of the market price prior to closing and preferred stock. As a result of such refinancing, all of Fiza's debt obligations with the Company have been fully retired.

Under the other agreement, 3i, LP converted approximately $2 million in outstanding debt into shares of common stock, also at 150% of the market price prior to closing. In connection with this agreement, ...