26th Mar 2020 18:26
(Alliance News) - Catenae Innovation PLC said on Thursday said it has entered into a loan facility agreement with BTIC. Ltd for GBP150,000.
BTIC is controlled by Brian Thompson, who holds a 29% stake in Catanae.
The digital media firm said the loan - which has an annual interest rate of 11% and is repayable by March 25, 2022 - can be drawn down in three tranches commencing before March 31.
Catenae said the funds provides it with sufficient working capital until at least June 30.
"I am pleased to report that new funding has been secured to support the company's working capital position in the short term," said Chief Executive Guy Meyer.
In January, Catenae said it was seeking funding as its working capital position was weak and failure to secure funds would result in it considering insolvency proceedings.
In February, it raised GBP153,000 through a subscription of 38.3 million shares at a price of 0.4 pence each. Additionally, some of its creditors agreed to convert their existing liabilities into shares, leading to the issue of 36.8 million shares in Catenae at a price 1.1 pence per share for the settlement of GBP404,250 in aggregate liabilities.
The stock closed 18% lower at 0.35 pence each on Thursday in London.
By Ife Taiwo; [email protected]
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