Atomos Limited (ASX:AMS) Enters $13.7m Debt Facility
Debt Facility Secured
Atomos Limited has entered into a $13.7m debt facility with Monreii Pty Ltd, owned by Executive Director Peter Barber. The facility will repay existing unsecured loans of $8.7m, providing sufficient funding to reach cashflow positive in FY26.
Future Outlook
The company will announce several new products and services at the upcoming NAB Trade Show in Las Vegas, expected to boost sales in Q4 FY25 and beyond. Atomos forecasts reaching cashflow positive in FY26.
Executive Comments
Atomos Chair James Joughin stated, “The debt facility is a major step forward in our strategy to rebuild shareholder value in the Atomos business without requiring any equity dilution.” He added, “Despite the significant steps we have taken to realign the cost base, cash flows have continued to be impacted by one-off and legacy-related items – such as legal settlement payments, staff redundancies and supplier payment plans (related FY24) – delaying our ability to reach cashflow breakeven.” Joughin continued, “All legacy-related items are expected to be finalised by June 2025 at which point Atomos is forecast to be in a materially improved financial position with a clear roadmap of new products and complementary services to accelerate sales over time.”
Motley Fool contributor Kiarra Jackson has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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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