MyEco Group (ASX:MCO) Secures $1 Million Revolving Debt Facility
Debt Facility Details
MyEco Group Ltd (ASX:MCO) has entered into a $1.0 million secured revolving debt facility with Tradeplus24 to support its working capital needs for expected sales growth in the second half of FY25. The non-dilutive facility allows up to $1.0 million to be drawn, not exceeding 80% of eligible trade receivables held by its subsidiary, Cardia Bioplastics Australia. The interest rate is 12.3176% per annum, comprising the 30-day bank bill swap rate bid rate plus an 8.0% fixed margin. Repayment is due by 28 February 2026, with the option to renew by mutual agreement. The facility is secured by a security interest over the subsidiary’s trade receivables and all company assets, a Deed of Subordination over intercompany loans, and the company’s guarantee of the subsidiary’s obligations.
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended MyEco Group Ltd. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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