Maverix Metals Inc (TSX:MMX) announced it had increased its revolving credit facility by $40 million to $160 million.
In a statement, the Vancouver-based company’s CFO Matt Fargrey thanked lenders for their “continued support and confidence” in the royalty firm’s business model.
“The increase and extension of our revolving credit facility will provide us with more capital to pursue accretive acquisitions of precious metals royalties and streams,” Fargrey told shareholders.
READ: Maverix Metals sees strong 2Q with 30% increase in revenue as its asset portfolio continues to deliver
Under the term sheet, the amounts drawn on the credit facility are subject to interest at LIBOR plus 1.875% to 3% per annum, and the undrawn portion of the credit facility is subject to a standby fee of 0.422% to 0.675% per annum, both of which are dependent on the company's leverage ratio.
The lenders are a syndicate of banks that include National Bank of Canada (TSX:NA), Canadian Imperial Bank of Commerce, The Bank of Nova Scotia, and Bank of Montreal (CSE:BMO).
The credit facility has a term of four years, maturing in September 2025.
Maverix has nothing drawn from the credit facility and the full $160 million remains available.
Separately, the company said it had filed a base shelf prospectus that will allow it to make offerings of up to $500 million. The prospectus will expire on October 13, 2021.
Maverix is a gold-focused royalty and streaming company with a globally diversified portfolio of over 100 assets.
Contact Angela at angela@proactiveinvestors.com
Follow her on Twitter @AHarmantas