Naked Wines PLC (AIM:WINE, OTCQX:NWINF) has secured a new $60 million credit line with PNC Bank, replacing its previous agreement with Silicon Valley Bank.
The five-year facility is secured against global wine assets with the company paying an annual interest rate of 2.75-3.25% above the secure overnight finance rate (SOFR).
Designed to enhance liquidity, the new loan allows for increased advance rates and improved inventory eligibility, resulting in an expected $25-30 million rise in unconstrained liquidity.
Additionally, interest costs are expected to decrease due to improved margins and the elimination of a minimum cash-holding requirement.
"I'm pleased to have agreed this new facility with PNC Bank and welcome them on board as our new financial provider," said Naked Wines CEO Rodrigo Maza.
"The new facility proves the strength of Naked's balance sheet and business outlook while reinforcing our liquidity and ability to invest in bringing the best wines to our customers."
In a separate announcement, Naked Wines announced its chief financial officer is to leave in the autumn.
James Crawford rejoined the business in 2022 and the timing of his departure is "consistent with the two-to-three-year incentive arrangement" agreed with him when he stepped back onto the board, investors were told.
"James has been with the company for over 10 years, as both CFO and a period as managing director of Naked Wines UK," said chairman Rowan Gormley.
"During his tenure Naked has grown from annual revenues of £40 million to £290 million in the financial year 2024 and James' leadership and expertise have played a valuable role in navigating that growth and the subsequent challenges.
"On behalf of the Board and the company, we extend our gratitude to James for his service and wish him the best in his future endeavours."