I Synergy Issues 233 Million Shares Amid New AI Partnerships

• Formal A$300,000 Sale and Purchase Agreement with Treasure Global Inc.
• Establishment of new subsidiary ISG Technology Ltd to manage AI infrastructure delivery
• One-year strategic partnership with Octagram focusing on AI marketing and blockchain gaming
• Completion of 233 million share conversions under Convertible Note facility
• Acquisition of full ownership of dormant subsidiary I Synergy Universal Sdn Bhd

Strategic Moves in AI Infrastructure

I Synergy Group Limited (ASX – IS3) has taken significant steps this quarter to position itself within the burgeoning AI and digital technology sectors. The company formalised a Sale and Purchase Agreement valued at A$300,000 with Treasure Global Inc. (NASDAQ – TGL), a Malaysian digital solutions provider specialising in AI infrastructure. This agreement, structured over six monthly instalments, marks a transition from earlier non-binding arrangements and sets the stage for collaborative development of AI-based platforms.

To oversee the operational demands of this agreement, I Synergy established a wholly owned subsidiary, ISG Technology Ltd, in early October. This move signals a commitment to dedicated management and delivery capabilities as the company embarks on these early-stage initiatives.

Expanding Digital Horizons with Octagram

Further broadening its digital footprint, I Synergy entered into a one-year strategic partnership with Octagram Investment Limited, a Malaysian gaming and software developer. This alliance focuses on leveraging AI-powered marketing tools, blockchain engagement systems, and cross-platform gaming solutions. Both parties retain ownership of their intellectual property, with limited licensing arrangements to facilitate collaboration. While the partnership is currently non-exclusive and financially immaterial for the year, it reflects I Synergy’s intent to explore innovative digital applications beyond traditional technology services.

Capital Structure and Corporate Developments

On the capital front, I Synergy completed all remaining conversions under its Convertible Note facility, issuing over 233 million shares during the quarter. This equity conversion strengthens the company’s balance sheet without increasing debt, demonstrating continued investor support. Additionally, the company consolidated full ownership of its dormant subsidiary, I Synergy Universal Sdn Bhd, by acquiring the remaining 30% stake. Although the subsidiary is inactive, this move simplifies corporate structure and may provide future strategic flexibility.

Notably, the company addressed an ASX price and volume query related to unexplained share price movements earlier in the year, confirming no undisclosed price-sensitive information was held at the time. This transparency helps maintain investor confidence amid the company’s evolving strategic initiatives.

Looking Ahead

While the financial impact of these agreements is currently expected to be immaterial within the current fiscal year, the groundwork laid through these partnerships and structural changes could catalyse longer-term growth. Investors and market watchers will be keen to see how ISG Technology Ltd scales its operations and how the collaboration with TGL and Octagram translates into tangible products and revenue streams.

Bottom Line?

I Synergy’s foundational AI partnerships and equity moves set a cautious but promising stage for future growth in digital technologies.

Questions in the middle?

• How quickly will ISG Technology Ltd scale and begin delivering on the TGL agreement?
• What milestones will define success in the Octagram partnership over the next year?
• Could these early-stage AI initiatives materially impact I Synergy’s financials beyond the current year?