The announcement of the credit facility comes five months after ActivCard acquired an initial 38% stake in Aspace for £1 million.

Aspace has already drawn down two-thirds of the £1 million loan facility. The release of the remaining funds is subject to specific performance criteria and will trigger the conversion of warrants that would raise ActivCard's stake in the firm to 49%.

The loan bears interest at six per cent per annum and is repayable on 30 November 2005.