COPENHAGEN, DENMARK / ACCESSWIRE / November 22, 2023 / Linkfire (STO:LINKFI) Linkfire A/S ("Linkfire" or the "Company") announces that it has secured debt financing of DKK 37.3 million from Kuok Meng Ru, shareholder of Linkfire and Group CEO & Founder of Caldecott Music Group ("CMG"), as an expression of his commitment to and belief in the Company's potential.
The terms of the financing agreement are similar to the terms previously announced (see the corporate announcement from 9 May 2023), whereas the financing is structured as a drawdown facility and carries a reduced annual interest rate of 17 percent compared to 18 percent previously, accruing on each draw of the facility and paid quarterly. The board assesses the interest level to reflect current market terms.
The facility has a duration of 2.5 years. It is repayable in whole or in part in the interim in case of future equity or debt raises during the term of the loan.
The loan will be deployed to repay part of Linkfire's existing loans under the previously announced credit facility, contribute to financing the Company's operations until cash flow break-even expected in 2024, and allow Linkfire to continue various avenues in its pursuit of maximizing shareholder value. The expected net proceeds from the loan is approximately DKK 20 million and will be utilized for the Company's operations.
The debt financing is a testament to Kuok Meng Ru's continued belief in the Company's potential and unique market position.
Copenhagen, 22 November 2023
Board of Directors of Linkfire
For further information, please contact:
Tobias Demuth, CFO
Telephone: +45 27 84 44 68
E-mail: investors@linkfire.com
About Linkfire
Linkfire empowers music and audio marketing for millions of artists and creators. Through smart links generated with its proprietary technology, Linkfire connects billions of fans with their favorite artists, driving streams, sales, and fan engagement, providing leading data insights, superior user experience, and a quality marketplace for fans, artists, and creators.
Linkfire's customers and partners count many of the biggest names in the industry, such as Apple, Amazon, Sony Music, Universal Music, and Warner Music, in addition to thousands of artists and creators directly.
Headquartered in Copenhagen, Denmark, and listed on Nasdaq First North Premier in Stockholm (LINKFI), you can find more information on investors.linkfire.com.
This information is information that Linkfire is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2023-11-22 15:48 CET.
Attachments
Linkfire A/S secures debt financing of DKK 37.3 million (approx. EUR 5 million) on an improved interest basis to strengthen cash preparedness
SOURCE: Linkfire
View source version on accesswire.com:https://www.accesswire.com/808580/linkfire-as-secures-debt-financing-of-dkk-373-million-approx-eur-5-million-on-an-improved-interest-basis-to-strengthen-cash-preparedness
