Heritage Global Capital Extends and Upsizes Senior Funding Facility
November 07, 2022 08:30 AM Eastern Standard Time
SAN DIEGO – (BUSINESS WIRE) – Heritage Global Capital (“HGC”), a division of Heritage Global Inc. (Nasdaq: HGBL), specializing in flexible fundings for the Accounts Receivable Management “ARM” industry, announced today that it has extended and increased its funding facility with its existing senior lender. The amended facility, originally set to expire in 2022, now extends through March 31, 2025 and increases the facility size from $80 million to $200 million.
The funding facility was upsized by $120 million; this extension will provide HGC the capital suited to achieve its near-term goals. “This amended facility dramatically increases our lending capacity to support the growth opportunity in front of us as we anticipate continued increases in loan defaults given the current economic environment. We are eager to further our commitment to be the premier lender to the industry,” said Ross Dove, CEO of Heritage Global Inc.
About Heritage Global Capital (“HGC”)
Heritage Global Capital, LLC. is a subsidiary of Heritage Global Inc. (NASDAQ: HGBL). HGC operates under the Financial Assets business unit and provides flexible funding structures for all asset classes while specializing in buyers acquiring financial portfolios. A customized one-stop credit solution strategized to deliver cost-effective debt capital, HGC lends to companies across a variety of asset classes and thrives on providing creative solutions to companies with non-traditional business models.
About Heritage Global Inc. (“HG”)
Heritage Global Inc. (NASDAQ: HGBL) values and monetizes industrial & financial assets by providing acquisition, disposition, valuation, and lending services for surplus and distressed assets. This aids in facilitating the circular economy by diverting useful industrial assets from landfills and operating an ethical supply chain by overseeing post-sale account activity of financial assets. Specialties consist of acting as an adviser, in addition to acquiring or brokering turnkey manufacturing facilities, surplus industrial machinery and equipment, industrial inventories, real estate, account receivable portfolios, and intellectual property through its two business units: Industrial Assets and Financial Assets.
This communication includes forward-looking statements based on our current expectations and projections about future events. For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. While the Company believes the forward-looking statements contained in this communication are accurate, these forward-looking statements represent the Company’s beliefs only as of the date of this communication, and there are a number of factors that could cause actual events or results to differ materially from those indicated by such forward-looking statements, including variability in magnitude and timing of asset liquidation transactions, the impact of changes in the U.S. national and global economies, and interest rate and foreign exchange rate sensitivity, as well as other factors beyond the Company’s control. Unless required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, you should not place undue reliance on these forward-looking statements, which speak only as of the date of this release. For more details on factors that could affect these expectations, please see our filings with the Securities and Exchange Commission.
John Nesbett/Jennifer Belodeau
IMS Investor Relations