Business
NTG Clarity Networks Establishes $3.5 Million CDN Credit Facility Refinances existing debt at lower interest rate; increased operating line; revolving facility to support pre-shipping costs
(via Thenewswire.ca) Toronto, ON / TNW-Accesswire / Mar 6 2014 / NTG Clarity Networks Inc....
About this update from Ntg Clarity Networks Inc.
[{"type":"text","content":"NTG Clarity Networks Establishes $3.5 Million CDN Credit Facility Refinances existing debt at lower interest rate; increased operating line; revolving facility to support pre-shipping costs(via Thenewswire.ca)\n\n \nToronto, ON / TNW-Accesswire / Mar 6 2014 / NTG Clarity Networks Inc. (TSX.V:NCI), a leader in the telecommunications OSS/BSS market, today announced that it has completed an agreement to establish a $3.5 million credit facility and $1.2 million bonding facility with RBC Royal Bank of Canada, Knowledge Based Industries Banking Group - Ontario.\n\n \n \n\"Today's announcement is a testament to RBC's strong focus on this innovative sector that continues to be a catalyst for growth in today's highly competitive and ever-changing global marketplace,\" said Eric Leblanc, vice president, knowledge based industries, RBC. \"In fact, our team is committed to helping successful high-tech companies not only access the bank's services, but also access venture capital, enter into global markets and facilitate IPOs.\" \n\n \n \nThe new facility refinances an existing $1 million facility at a lower interest rate, and adds financing to support NTG's organic growth, new opportunities and ongoing projects.\n\n \n \nThe agreement includes: \n\n \n \n-$2 million operating line available for general working capital purposes to fund continued growth;\n\n\n \n-$1.5 million pre-shipping revolving facility to support pre-shipping costs associated with exports; \n\n\n \n-$1.2 million letter of guarantee facility to support bid and performance and payment guarantees for export contracts.\n\n \n \n\"This new facility, in conjunction with the private placement convertible debenture of $872,000 completed in 2013 and the anticipated positive results from 2013, allows NTG to aggressively pursue new opportunities to achieve our growth plan\" said Ashraf Zaghloul, NTG Clarity Chairman and CEO. \n\n \n \nFacilities are supported by Export Development Canada (EDC) with an interest rate at prime plus 1.85% and are secured by a general security agreement over the Company's assets.\n\n \n \nAbout NTG Clarity Networks Inc.\n\n\n \nNTG Clarity Networks' vision is to be a global leader in providing networking solutions. Established in 1992, NTG Clarity is a leader in Canada in delivering networking, IT and network enabled application software solutions to ne...