Business
Northstar Announces Execution of Term Sheet for $8.75 Million in Debt with Business Development Bank of Canada (Bdc)
Northstar Announces Execution of Term Sheet for $8.75 Million in Debt with Business Development B...
About this update from Northstar Clean Technologies, Inc.
[{"type":"text","content":"\n \n \n \n Northstar Announces Execution of Term Sheet for $8.75 Million in Debt with Business Development Bank of Canada (Bdc)\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n \n VANCOUVER, BC\n \n \n ,\n \n \n June 15, 2023\n \n \n /CNW/ - Northstar Clean Technologies Inc. (TSXV: ROOF) (OTCQB: ROOOF) (\"Northstar\" or the \"Company\") is pleased to announce that it has entered into a term sheet (the \"Term Sheet\") with the Business Development Bank of\n \n Canada\n \n (\"BDC\") for project financing of up to\n \n C$8.75 million\n \n in non-revolving senior secured debt (the \"BDC Financing\"). Proceeds from the BDC Financing will be used for the development and construction of the Company's planned asphalt shingle reprocessing facility in\n \n Calgary, Alberta\n \n (the \"Empower Calgary Facility\").\n \n \n \n \n \n \n \n \n \n The following is a summary of the material terms of the Term Sheet:\n \n \n \n BDC will provide a secured loan of up to\n \n C$8.75 million\n \n ;\n \n \n 15-year repayment period, with the potential for a 2-year interest only payment period;\n \n \n Fixed 5-year interest rate of 8.0% payable monthly, with the possibility of rate reduction after 1 year of successful plant operation; and\n \n \n The Company shall be required to repay all or a portion of the debt, as applicable, upon the occurrence of certain future prepayment events.\n \n \n \n The terms noted above are subject to change at the time of authorization.\n \n \n The term sheet is non-binding with no guarantee that closing will occur. The progression of the Term Sheet to binding loan documentation is subject to due diligence, satisfaction of customary loan conditions, and is progressing in line with Northstar and BDC's agreed timeline. The BDC Financing is subject to a one-time fee of\n \n C$43,750\n \n and an annual fee of\n \n C$1,000\n \n .\n \n \n Mr.\n \n Aidan Mills\n \n , President & CEO and Director of Northstar, stated \"We continue to execute on our strategy for the funding of the Empower Calgary Facility, with the...