OTTAWA, Sept. 12, 2016 /CNW/ - BluMetric Environmental Inc. ("BluMetric" or the "Company") (TSX-V: BLM) is pleased to announce the completion of agreements providing the Company with new credit and loan arrangements, as described below.
BluMetric has finalized an agreement with the Bank of Montreal for a secured operating line of credit in the amount of $2,500,000. This replaces the Company's previous line of credit with another Canadian bank. The new bank facility is also supported by Export Development Canada by way of account performance security guarantees in favour of the bank.
In a separate transaction, BDC Capital Inc. (BDCC), a wholly owned subsidiary of Business Development Bank of Canada, has entered into an agreement with the Company for a secured five-year term loan in the amount of $2,500,000. Pursuant to the loan agreement, BDCC is entitled to receive royalty payments based on BluMetric's gross revenue beginning February 2018. This loan will provide additional working capital intended for growth, as well as repay today the Company's existing 9% Convertible Unsecured Debentures in the amount of $1,430,000.
"These arrangements significantly improve our working capital position and allow us to focus on growth opportunities that will benefit all aspects of the Company," said Roger Woeller, CEO of BluMetric. "Furthermore, we are pleased to enter into these relationships with exemplary Canadian Institutions."
About BluMetric Environmental Inc.
BluMetric Environmental Inc. is a publicly traded cleantech company with a portfolio of industry-leading engineering services and proprietary equipment providing sustainable solutions to environmental challenges. Headquartered in Ottawa, Ontario, BluMetric's award-winning team of industry experts serves clients in Canada, the United States, and Central America.
For more information, visit www.BluMetric.ca
Some of the statements in this press release, including those relating to the Company's discussions of banking arrangements, financial results, future products, opportunities, cost initiatives, strategies, and other statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "expects", "anticipates", "intends", "plans", "believes", "estimates", or similar expressions, are forward-looking statements within the meaning of securities laws. Forward-looking statements include, without limitation, the information concerning possible or assumed future results of operations of the Company. These statements are not historical facts but instead represent only the Company's expectations, estimates, and projections regarding future events. The Company does not undertake any obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this communication or to reflect the occurrence of unanticipated events, except as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE BluMetric Environmental Inc.
For further information: Roger Woeller, CEO, BluMetric Environmental Inc., Tel: 613.839-3053 x 242, Email: [email protected]; Robin M. Sundstrom, IRonside Investor Relations, Tel: 647.822.8111, Email: [email protected]