Onfolio Holdings signs forbearance deal for $850,000 Eastern Standard note

Onfolio Holdings Inc. (NASDAQ: ONFO) entered into a limited forbearance agreement on October 12, 2026, to address a payment default on an $850,000 promissory note related to its acquisition of the Eastern Standard business. The agreement involves Eastern Standard LLC, a Delaware limited liability company and subsidiary of Onfolio, as the maker, and Eastern Standard LLC, a Pennsylvania limited liability company, as the payee. Onfolio serves as the guarantor for the note, which is secured by the assets of the Delaware subsidiary.

The company failed to make timely payments under the original note, triggering the need for the new arrangement. Under the terms of the forbearance agreement, the maker is required to pay $450,000 to the payee on or before October 31, 2026. This initial payment is followed by monthly installments of $60,000 beginning December 1, 2026. The final scheduled payment of $45,754.29 is due on July 1, 2027. These payments total $915,754.29 and include principal, interest, a $20,000 late charge, and other owed amounts.

The payee has agreed to refrain from exercising certain rights and remedies under the note upon receipt of the initial payment. This forbearance continues only as long as each subsequent monthly payment is made when due, subject to a ten-day cure period. If all scheduled payments are made on time, the note will be deemed paid in full. Consequently, the security interests held by the payee and Onfolio’s guaranty will be released.

Missing these deadlines triggers immediate enforcement options for the payee. Should the initial payment be late or any monthly installment miss the cure window, the payee can act on its rights across the note, security agreement, and guaranty. The forbearance arrangement does not push back the note's maturity date, and any outstanding default interest continues to accrue.

Onfolio Holdings Inc., incorporated in Delaware and headquartered in Wilmington, disclosed this material definitive agreement in a Current Report on Form 8-K filed with the Securities and Exchange Commission. Dominic Wells, Chief Executive Officer of Onfolio Holdings Inc., signed the report on October 20, 2026. The full text of the Limited Forbearance Agreement and Reaffirmation of Loan Documents is filed as Exhibit 10.1 to this report.