Cerritos, CALIFORNIA, December 18, 2019 - Omni-Lite Industries Canada, Inc. (the “Company” or “Omni-Lite Industries”) (TSXV: OML; OTCQX: OLNCF) is pleased to announce today the successful refinancing of its current US$700,000 senior bank credit facility with the entering of a new three-year, US$3.0 million revolving line of credit facility with City National Bank, an RBC Company. Proceeds from the initial drawdown were used to repay in full and terminate the Company’s existing line of credit agreement. In addition, the new revolving credit facility provides for the expansion of our borrowing capacity to $3.0 million along with a December 2022 maturity. Under the terms of the new credit agreement, the Company has agreed to certain conditions and financial covenants including fixed charge coverage and maximum leverage.
In addition, the Company has received cash proceeds from the Company’s former CEO of approximately US$400,000 in payment in full of its outstanding loan receivable. Such proceeds will further support the Company’s financial flexibility and strength, in conjunction with the new revolvering line of credit facility, to pursue strategic, operational, and other opportunities to drive long-term value creation.
Carl Lueders, Omni-Lite Industries’ Chief Financial Officer, commented, “We are pleased to be working with John Tyson, senior vice president of City National Bank in Boston, as our new banking partner. They have the resources and range of capabilities to support our growth plans, and we are grateful for their support and confidence in Omni-Lite Industries, its management, strategic plan and prospects.”
About Omni-Lite Industries Canada Inc.
Omni-Lite Industries Canada Inc. is an innovative company that develops and manufactures mission critical, precision components utilized by Fortune 100 companies in the aerospace and defense industries.
For further information, please contact:
Mr. David Robbins
President and Chief Executive Officer
Tel. No. (562) 404-8510 or (800) 577-6664
Email: d.robbins@omni-lite.com
Website: www.omni-lite.com
Reader Advisory
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