Mint Technology Corp. (Vancouver:MIT.V) announced today that the Company has completed a USD $4.0 million secured loan financing with lenders Kodiak International LLC and an international investment firm that manages in excess of USD $8.0 billion.
The Company intends to use this financing to fund its working capital needs.
"This financing will provide us with the funding to continue to leverage our leadership position in the prepaid credit card sector in the Canadian marketplace," said Frank Maduri, president and CEO of Mint Technology Corp., "Furthermore, we will be able to meet and fulfill client demands for our product and continue to develop strong, strategic relationships in the industry."
David Jackson, principal of Kodiak International LLC, stated today, "Mint Technology Corp., with its early mover advantage in the growing prepaid credit card business, quickly expanding customer base and market potential, is the type of company we look to support."
In addition to cash interest per annum equal to LIBOR plus 7.50%, the Company has granted the lender warrants to purchase 9.9 million common shares, exercisable for a period of 24 months at CAD $0.25 per share, payable by cashless exercise. The warrants are not assignable and any shares issued under the warrants may not be traded for four months following closing.
The loan is repayable in equal monthly installments commencing March 31, 2007 and ending on August 8, 2008. The loan is secured by a first charge on all of the Company's assets.