TORONTO, Dec. 19, 2014 /CNW/ - Wheels Group Inc. ("Wheels" or the "Company") (TSXV: WGI), a leading North American non-asset third party logistics ("3PL") provider, today announced that it has secured financing of $7,426,590 from BMO Capital Partners ("BMOCP") to be used for redemption of the Company's Series 1A Preference Shares on December 31, 2014.
With no principal repayments due until maturity on August 31, 2017, the principal amount of the advance bears cash interest at a rate of 13.5% calculated and payable monthly and capitalized interest of 2.5% calculated and compounded monthly and payable in cash on the earliest of the maturity date or repayment of the principal amount. The advance is subordinate to Wheels' senior secured debt, and is secured by the assets of the Company.
Founded in 1988, Wheels is a leading North American 3PL, supply chain logistics provider. As a non-asset provider, the Company develops advanced supply chain solutions delivered through its qualified partner network of over 6,000 truck, rail, air and ocean carriers. Wheels serves consumer goods, food and beverage, manufacturing and retail clients through 18 offices throughout the US and Canada. Wheels has been named one of Canada's Best Managed Companies since 1997, Platinum since 2003. Wheels has been named one of North America's Top 100 Third-Party Logistics ("3PL") Companies and one of the Top 100 Food 3PL's.
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SOURCE: Wheels Group Inc.
For further information: Patrick J Marshall, Investor Relations, Tel: (905) 602-2700, www.wheelsgroup.com