Business
Cosmos Health Secures Bond Loan from European Bank on Very Competitive Terms, with Option to Upsize to Support Growth and Achieve Positive Operating Cash Flow
CHICAGO, IL / ACCESS Newswire / January 28, 2025 / Cosmos Health Inc. ("Cosmos Health" or the "Company'') (NASDAQ:COSM), a diversified, vertically integrated
About this update from Cosmos Health Inc.
[{"type":"text","content":"CHICAGO, IL / ACCESS Newswire / January 28, 2025 / Cosmos Health Inc. (\"Cosmos Health\" or the \"Company'') (NASDAQ:COSM), a diversified, vertically integrated global healthcare group engaged in innovative R&D, owner of proprietary pharmaceutical and nutraceutical brands, manufacturer and distributor of healthcare products, and operator of a telehealth platform, announced today that, on January 27, 2025, its wholly owned subsidiary, CosmoFarm S.A. (the \"Issuer\" or \"CosmoFarm\"), entered into an agreement with a European bank to issue a €2,200,000 (approximately $2,293,830) secured bond (the \"Loan\").Proceeds from the Loan are intended to support the Company's strategic growth initiatives and provide funding for general corporate purposes, including working capital.Loan Key TermsThe Loan is expected to be issued concurrently in two separate tranches of €700,000 (\"Series A Bonds\") and €1,500,000 (\"Series B Bonds\") and will be secured by CosmoFarm's wholly owned building. The Series A Bonds will be repayable in ten (10) equal semi-annual installments, while the Series B Bonds will be repayable in full upon the Loan's maturity.The Loan matures on January 27, 2030, and carries an interest rate of 2.95% plus the applicable 6-month Euribor rate, payable semi-annually.The Company has the ability to upsize its secured bond issuance, as an additional financing tool, to raise further capital, offering ongoing flexibility to support its goal of achieving positive operating cash flow.Greg Siokas, CEO of Cosmos Health, stated: \"The issuance of this bond underscores the strength and flexibility of our assets. By leveraging our properties, we have secured a non-dilutive source of capital on very competitive terms, providing robust support for our strategic initiatives. In fact, we have the ability to further leverage our various properties at Cosmos to raise additional non-dilutive capital as we work toward achieving positive operating cash flow status.\"About Cosmos Health Inc.Cosmos Health Inc. (Nasdaq:COSM), incorporated in 2009 in Nevada, is a diversified, vertically integrated global healthcare group. The Company owns a portfolio of proprietary pharmaceutical and nutraceutical brands, including Sky Premium Life®, Mediterranation®, bio-bebe®, C-Sept® and C-Scrub®. Through its subsidiary Cana Laboratories S.A., licensed under Europ...