Face value of €11.80m (AUD$17.61m) and available proceeds of €10.80m (AUD$16.12m).
Interest rate of 6.25% (compared with 12% on the previous facility).
Cash repayments at a 1.5% premium and stock repayments subject to a formula (in most cases a 10% VWAP discount).
The term is for 30-months with principal and interest repayments to be made monthly.
The initial draw down will be circa €8.55 million (AUD$12.76m).
Upon completion, these funds will be used to retire existing senior debt and provide extra working capital for the Company.
The Facility is denominated in Euro as this provides a natural currency hedge given most of the Company’s revenues and earnings are in Euro.
The Company intends to repay principal and interest in cash and retains the flexibility to repay via equity throughout the life of the Facility, at the Company’s election.
The Lender can convert all or a portion of the Facility into Crowd Mobile shares during the term at a fixed conversion price of 30% above the closing share price at the time of the EGM, subject to certain limitations.
The Company made the scheduled earn-out payment to the Vendors for the Track acquisition of €2.50m (AUD$3.73m) on 29 June 2016 from existing cash reserves.
Crowd Mobile has also reached an agreement with the Vendors to defer the first Vendor payment of €2.0m (AUD$2.99m) scheduled for October 2016 to October 2017. This 12-month extension serves as a strong endorsement of the Crowd Mobile management team and performance of the business as the Vendors have willingly extended their payment term and indeed their ongoing operational involvement. The Vendors currently hold approximately 10% of the Company.
Congratulations Domenic on your very successful re finance outcome.
Effectively halving the interest rate of 12 and 15% to 6.25%.
An extremely pleasing result for share holders.
Lute
Add to My Watchlist
What is My Watchlist?
