ActivePort Ends $1.5M Loan Facility and Sees $4M License Term Sheet Expire
ActivePort Group has confirmed the mutual termination of its loan facility with Radian Arc and the lapse of a key licensing Term Sheet, clarifying its compliance with ASX disclosure rules.
- Loan Facility with Radian Arc terminated by mutual consent on 31 July 2025
- Term Sheet for cloud gaming software license lapsed on 30 June 2025 without extension
- Company asserts market was aware of Term Sheet lapse due to prior disclosures
- ActivePort confirms ongoing license distribution contract with Radian Arc remains active
- Company affirms compliance with ASX continuous disclosure obligations
Background on the Radian Arc Agreements
ActivePort Group Ltd (ASX, ATV), a technology company specialising in cloud gaming software, has provided clarity on recent developments concerning its financial and licensing arrangements with Radian Arc Limited. These updates come in response to an ASX inquiry regarding the status of a loan facility and a licensing Term Sheet previously announced in late 2024 and early 2025.
Termination of Loan Facility
On 31 July 2025, ActivePort and Radian Arc mutually agreed to terminate the loan facility that had been in place, which originally allowed Radian Arc to draw up to $3.9 million, with $1.5 million drawn at the time. This termination was disclosed promptly in ActivePort’s Quarterly Activities Report for the quarter ending 30 June 2025, signalling a significant shift in the financial relationship between the two companies.
Lapse of the Licensing Term Sheet
The Term Sheet, which outlined a $4 million perpetual license for ActivePort’s GPU orchestration cloud gaming software, was due for completion initially by 28 February 2025 and later extended to 30 June 2025. ActivePort confirmed that no further extension was agreed upon, and the Term Sheet has therefore lapsed. The company maintains that the market was fully informed of this potential outcome through prior announcements, and thus no separate disclosure was required when the Term Sheet expired.
Ongoing License Distribution Contract
Despite the lapse of the Term Sheet and termination of the loan facility, ActivePort emphasised that the existing license distribution contract for the Middle East with Radian Arc remains active. Radian Arc continues to make payments under this agreement, providing some continuity in the partnership amid the recent contractual changes.
Compliance and Market Communication
ActivePort has confirmed its compliance with ASX Listing Rule 3.1 regarding continuous disclosure and stated that all responses to the ASX’s inquiries were authorised by the board. The company’s approach reflects a careful balance between transparency and the recognition that certain information, such as the lapse of the Term Sheet, was already effectively communicated to the market through prior disclosures.
Looking Ahead
While the termination of the loan facility and the lapse of the Term Sheet mark a pause in certain financial and licensing negotiations, ActivePort’s ongoing contractual relationship with Radian Arc and its broader strategic direction remain areas to watch. Investors will be keen to see how the company navigates these developments in its upcoming financial reports and whether new agreements emerge to support growth.
Bottom Line?
ActivePort’s latest disclosures close one chapter with Radian Arc but leave the door open for future collaboration and market developments.
Questions in the middle?
- What are the financial implications of the loan facility termination on ActivePort’s balance sheet?
- Will ActivePort pursue new licensing agreements to replace the lapsed Term Sheet?
- How will the ongoing Middle East license distribution contract impact ActivePort’s revenue in the near term?
