EQTEC PLC (AIM:EQT) has arranged a new financing facility for up to £10mln, with an initial £5mln advance, to fund growth and development activities in key markets.
The remainder of the loan can be drawn down in multiple instalments, subject to mutual agreement, and repayments will take place monthly – starting five months from the receipt of the advance, whilst each instalment matures over 12 months.
It carries a fixed coupon of 7.5% and a further performance fee applies if the share price of the company significantly increases whilst the facility is in place.
In January, in a fourth-quarter trading update, the company told investors that the current year will see it maintain a strong focus on revenue growth. The company confirmed previous guidance of 2021 revenues in the range of €8mln–€10mln, up from €2.2mln in 2020. Earnings guidance also remains unchanged.
EQTEC noted that in 2022 it envisages working with an increasing number of larger partners with qualified delivery track records and, in many cases, multinational market access.