Element Financial Corporation closes $585 million senior revolving credit facility
TORONTO, Sept. 4, 2013 /CNW/ - Element Financial Corporation (TSX:EFN) ("Element" or "the Company"), one of North America's leading independent equipment finance companies, today announced that it has closed a new $585 million senior revolving credit facility to fund the Company's planned origination activity into 2014.
The facility, which includes a $150 million accordion and has an initial term of three years, allows Element to borrow in either Canadian or US dollars and is incremental to the Company's other funding arrangements. The lending institutions participating in the facility include Bank of Montreal, Barclays, CIBC, Credit Suisse, National Bank, PNC Bank, RBC, Sun Trust and TD Bank with Bank of Montreal acting as Administrative Agent.
"The addition of this senior credit facility further expands and diversifies our capital structure while providing additional funding capacity across our numerous verticals and across North America," said Steven K. Hudson, Element's Chairman and CEO. "I believe we are now in a position to begin leveraging our balance sheet with transformational acquisitions that add both sector scope and origination scale to Element's position as a leading provider of equipment financing in North America," added Mr. Hudson.
About Element Financial Corporation
With total assets of approximately $2.5 billion, Element Financial Corporation is one of North America's leading independent equipment finance companies. Element operates across North America in three verticals of the equipment finance market - Element Capital provides large ticket equipment financing, Element Finance serves the mid-ticket equipment finance market and Element Fleet provides vehicle fleet leasing and management solutions.
Forward Looking Statements
This release includes forward-looking statements regarding Element and its business. Such statements are based on the current expectations and views of future events of Element's management. In some cases the forward-looking statements can be identified by words or phrases such as "may", "will", "expect", "plan", "anticipate", "intend", "potential", "estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting Element, including risks regarding the equipment finance industry, economic factors and many other factors beyond the control of Element. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Element undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
SOURCE Element Financial CorporationFor further information:
Senior Vice President
Corporate Affairs & Investor Relations
(416) 386-1067 ext. 2313
Chief Financial Officer
(416) 386-1067 ext. 2225