VANCOUVER, Oct. 26, 2017 /CNW/ - Grande West Transportation Group Inc. (TSXV: BUS; OTC PINK: GWTNF) – October 26, 2017: ("Grande West" or the "Company"), a Canadian bus manufacturer of multi-purpose mid-sized transit vehicles for sale in Canada and the United States, is pleased to announce that it has secured a new credit facility for up to $20 million CAD.
The Royal Bank of Canada (TSX: RY) is providing a revolving credit loan for up to $20,000,000 in Canadian dollar Prime Rate loans, US Base Rate loans, Letters of Credit and Letters of Guarantee. The credit facility will be used to refinance certain outstanding indebtedness, ongoing working capital requirements and retires the Company's current $4.3 million USD credit facility.
William Trainer, Grande West CEO stated, "We are fortunate and excited to be working with Royal Bank as the Company enters a new phase of production and expansion. This new credit facility significantly reduces pressure on our ongoing working capital requirements and allows us to continue our strong growth profile with cost-effective and flexible financial terms. Royal Bank has been great to work with and has provided the right facility that will grow with our business to best ensure Grande West's success."
PricewaterhouseCoopers has been engaged as its auditor and financial consultant to further assist with continued growth and broader international operations.
Mr. Yves Devin has resigned from the board of directors in order to spend more time with his family and pursue personal interests. Management sincerely thanks Mr. Devin for his many contributions to Grande West over the years and wishes him all the best in his future endeavours.
About Grande West Transportation Group
Grande West is a Canadian company which designs, engineers and manufactures mid-size multi-purpose transit vehicles for public and commercial enterprises. Grande West's Best-in-Class Vicinity bus is available in 27.5, 30 and 35 foot models powered by clean diesel or CNG designed with affordability, accessibility and global responsibility in mind. It costs significantly less than a regular 40 foot transit bus, is more maneuverable, burns less fuel and emits less harmful emissions.
The Company has been successful in supplying Canadian municipal transportation agencies and private operators with new buses and is receiving follow-on orders in many Canadian transit agencies. Grande West is Buy America certified, and along with ABG, its exclusive US distributor, is actively pursuing opportunities in public and private transit fleet operations that would benefit from the Vicinity.
For further information please contact:
Grande West Transportation
Neither the TSX-V nor its Regulation Service Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This press release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein, including without limitation, statements regarding the use of proceeds from the Private Placement, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ materially from Grande West's expectations include uncertainties relating to the receipt of final approval from the TSX-V; and other risk and uncertainties disclosed in Grande West's reports and documents filed with applicable securities regulatory authorities from time to time. Grande West's forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made. Grande West assumes no obligation to update the forward-looking statements or beliefs, opinions, projections, or other factors, should they change, except as required by law.
SOURCE Grande West Transportation Group Inc.
For further information: Grande West Transportation, John LaGourgue, VP Corporate Development, Ph: 1-604-607-4000, email@example.com, www.grandewest.com