Business
NEUPATH HEALTH SECURES NEW CREDIT FACILITIES TO DRIVE GROWTH AND TO REFINANCE EXISTING DEBT
$13.5 million package, including $7.0 million to accelerate growth via acquisition and working ca...
About this update from Neupath Health Inc.
[{"type":"text","content":"NEUPATH HEALTH SECURES NEW CREDIT FACILITIES TO DRIVE GROWTH AND TO REFINANCE EXISTING DEBT\n\n\n .bwalignc { text-align: center; list-style-position: inside }\n.bwlistdisc { list-style-type: disc }\n \n\n\n\n\n $13.5 million package, including $7.0 million to accelerate growth via acquisition and working capital flexibility, and a $6.5 million term loan to consolidate existing debt\n \n\n NeuPath’s strong balance sheet and increasing cash flow attracted highly competitive bids from banks and top-tier lenders\n \n\n\n\n\n NeuPath Health Inc. (TSXV:NPTH), (“\n \n NeuPath\n \n ” or the “\n \n Company\n \n ”), owner and operator of a network of clinics delivering category-leading chronic pain treatment, today announced that it has entered into a new credit agreement (the “\n \n Credit Agreement\n \n ”) with the National Bank of Canada (“\n \n National Bank\n \n ”), providing an aggregate of up to $13.5 million, comprising of a (i) $4.0 million revolving credit facility (the “\n \n Revolving Facility\n \n ”), (ii) $3.0 million non-revolving delayed draw term loan facility (the “\n \n Acquisition Line\n \n ”), and (iii) $6.5 million non-revolving term loan facility (the “\n \n Term Loan\n \n ” and together with the Revolving Facility and the Acquisition Line, the “\n \n Credit Facilities\n \n ”). The Credit Facilities provide NeuPath with additional capital to execute on its growth plan, while also helping the Company refinance its existing debt on favourable terms.\n \n\n The Revolving Facility permits the Company to draw amounts at any time, subject to satisfying certain financial covenants, for working capital, capital expenditures and general corporate purposes.\n \n\n The Acquisition Line is made available to the Company to finance future acquisitions, subject to certain terms and conditions.\n \n\n The Term Loan is made available to the Company in the amount of approximately $6.5 million for the purpose of consolidating and refinancing the Company’s existing debt. As a result of the Term Loan, the Company has repaid all amounts outstanding under its credit facilities with the Royal Bank of Canada and has subsequently closed such facilities. In addition, the Company has redeemed all outstanding debentures...