TORONTO, Aug. 7, 2019 /CNW/ - Dealnet Capital Corp. ("Dealnet" or the "Company") (TSX VENTURE: DLS), reported today that it has obtained the annual renewal of its existing Senior Funding Facility with a major Canadian LifeCo. The renewed facility provides for enhanced eligibility to fund individual finance receivable contracts up to $100,000, along with increased monthly cashflows for each pool funded, and permanent funding for Quebec originations at a significantly lower cost of funds.
"The renewal of this facility at improved terms, along with securing permanent funding for our Quebec originations at a cost of funds commensurate with our originations across the rest of Canada, is a testament to the strong relationship that we maintain with our major Canadian LifeCo funding partner," said Brent Houlden, Dealnet's Chief Executive Officer. "The expansion of this funding facility reflects the confidence that our LifeCo partner has in the Company's management team and its operations."
About Dealnet Capital Corp.
Dealnet is the parent company of subsidiaries operating in two market segments, consumer finance and call centre. The Company operates in the consumer finance segment in Canada through EcoHome Financial Inc. ("EcoHome") and its call centre segment under the One Contact banner ("One Contact").
EcoHome is a specialty finance company serving the $20 billion Canadian home improvement finance market. EcoHome develops and supports consumer sales financing programs for approved dealers and distributors under agreements with original equipment manufacturers (OEMs) that supply a wide range of home improvement products to the retail market. Through a dealer network, EcoHome underwrites, originates, funds and services the prime quality loans and leases that homeowners need to finance the acquisition and installation of capital assets that improve the quality, comfort and safety of their homes.
One Contact offers customer support services to both EcoHome and third-party institutions across Canada and the U.S.
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This news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "would", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the information is provided, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. For a description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's Management's Discussion and Analysis. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.
SOURCE Dealnet Capital Corp.
For further information: Brent Houlden, Chief Executive Officer, (905) 695-8557 ext.1145, [email protected]; Michael Koshan, Chief Financial Officer and Treasurer, (905) 695-8557 ext. 1113, [email protected]