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Zedcor Inc. Announces Expansion of Credit Facility to Fund North American Growth Plans
Calgary, Alberta--(Newsfile Corp. - June 6, 2023) - Zedcor Inc. (TSXV: ZDC) (the " Company " or "...
About this update from Zedcor Inc
[{"type":"text","content":"Zedcor Inc. Announces Expansion of Credit Facility to Fund North American Growth PlansCalgary, Alberta--(Newsfile Corp. - June 6, 2023) - Zedcor Inc. (TSXV: ZDC) (the \"Company\" or \"Zedcor\") is pleased to announce that it has entered into an amended and restated Commitment Letter (the \"Amended Commitment Letter\") with its primary lender which increases its revolving evergreen equipment financing facility from $6.0 million to $15.0 million. This is an expansion of $9.0 million and, unless market conditions justify an increase to the Company's capital plans for 2023, provides the Company with sufficient access to capital to complete its 2023 capital asset program. This new financing will allow the Company to significantly increase its MobileyeZ security tower fleet as it grows its geographic footprint across North America and continues to provide customers with a technology based physical security solution.Todd Ziniuk, President and CEO of Zedcor, stated, \"This additional financing will help us execute our expansion plans for 2023 and the first half of 2024. We are seeing nearly full utilization for our MobileyeZ security tower fleet and demand for our services continues to be robust. Our goal is to ensure we have equipment available to provide security solutions to our customers. Zedcor's expansion across Canada is continuing, demand for our MobileyeZ security towers in Eastern Canada remains strong as we allocate more of our assets to that region and our planned US expansion in on track for the second half of 2023. The additional financing positions us well to meet our customer's demand for MobileyeZ security towers.\" Zedcor currently has $5.8 million drawn on its equipment financing facility and the Amended Commitment Letter provides Zedcor with an additional $9.2 million which is immediately available to the Company; as monthly payments are made on the equipment financing facility, Zedcor may borrow back up to the $15.0 million maximum. The Company anticipates it will draw down on the availability during the rest of calendar 2023 and into the first half of 2024 to fund its capital program for the purchase of additional MobileyeZ security towers. The Company also confirms that it anticipates exiting 2023 with a fleet size of approximately 900 security towers located across North America.The Amended Commitment Letter has ...