DALLAS, TX--(Marketwired - Nov 4, 2015) - RMG Networks Holding Corporation (
The credit facility was undrawn at the time of closing, and the company intends to use the new credit facility as needed to finance future growth and meet working capital needs. Availability under the credit facility is tied to a borrowing base formula. Borrowings under the credit facility will bear interest at a floating rate equal to the prime rate plus 1.25% or 2.25% per annum, depending on whether certain conditions are satisfied.
"Securing this low interest, non-dilutive financing strengthens our financial flexibility and provides us access to additional working capital as we continue to execute on organic growth initiatives," said Robert Michelson, Chief Executive Officer and President of RMG Networks. "We believe our ability to obtain this type of bank financing demonstrates the progress we are making in stabilizing our financial position and returning RMG Networks to recurring EBITDA generation."
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
Except for historical information contained herein, the matters set forth in this release are "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding statements we make regarding expected future operating results, such as anticipated future growth and our ability to achieve positive EBITDA. The forward-looking statements set forth above involve a number of risks and uncertainties that could cause actual results to differ materially from any such statement, including the risks and uncertainties discussed in the company's Safe Harbor Compliance Statement for Forward-Looking Statements included in the company's recent filings, including Forms 10-K and 10-Q, with the Securities and Exchange Commission. The forward-looking statements speak only as of the date made, and the company undertakes no obligation to update these forward-looking statements.
© 2015 RMG Networks Holding Corporation. RMG Networks and its logo are trademarks and/or service marks of RMG Networks Holding Corporation.
About RMG Networks
RMG NETWORKS (
Contact Information:
Contact:
Investor
Brett Maas/Rob Fink
646-536-7331/646-415-8972
or
Media
Julie Rasco
800-827-9666