STRATHROY, Ontario, Dec. 30, 2020 (GLOBE NEWSWIRE) -- PRESS RELEASE -- Eve & Co. Incorporated has announced that its wholly-owned subsidiary Natural MedCo Ltd has entered into a CAD$1M financing loan with a private consortium of lenders.
The CAD$1M financing has a two-year term and is to be received in two equal tranches of CAD$500,000. The first CAD$500,000 tranche has been received – net of issuance costs of approximately CAD$29,000 – and bears interest – payable monthly – at 15% per annum for the first year and 11% per annum for the second year. Monthly repayments of principal and interest can only be made during the second year of the term. The principal outstanding will be repaid to the Lender at the end of the two-year term.
The second CAD$500,000 tranche will be received from the lender upon five days written request from NMC. It will bear interest – payable monthly – at 15% per annum for the first year and 11% per annum for the second year. Monthly repayments of principal and interest can only be made during the second year of the term. The principal outstanding will be repaid to the Lender at the end of the two-year term. The second CAD$500,000 tranche will only be available for the first year and a facility fee of 0.5% per annum on this second tranche will accrue – and be paid – monthly to the lender. The loan is secured by the assets of the company and NMC and guarantees and is expected to be used for general corporate purposes.
