Iofina plc

finnCap Debt Advisory supports Iofina with signing of new debt refinancing announced

finnCap Debt Advisory continues to support clients through 2020 with announcement of maiden domestic US debt financing. Iofina Plc (“Iofina”, the “Company” or the “Group”), specialists in the exploration and production of iodine and manufacturers of specialty chemical products, has announced that it has signed binding documentation to refinance its entire debt, with support from finnCap Debt Advisory, by entering into a new loan agreement (the “Facility”) with First Financial Bank, (NASDAQ: FFBC), a Cincinnati-headquartered, US regional bank (“First Financial”). The Facility provides Iofina with new debt facilities of up to US$18m, with the proceeds used to pay off existing debt and to provide working capital for the Group going forward.

The Facility comprises two parts:

– A 7-year term loan for US$10m that is fully amortizing over the term.

– A 2-year asset based revolving line of credit for up to US$8m.

The Facility will be fully secured against the assets of the Group and contains customary financial covenants, as well as affirmative and negative covenants customary for transactions of this type.

Iofina were advised and supported by finnCap Debt Advisory on this transaction.

Commenting, President and CEO of Iofina Dr. Tom Becker, stated:

“The conclusion of the debt refinancing, with the support of finnCap Debt Advisory, is a significant and positive step for Iofina and is the culmination of many months of hard work. The favourable terms of this refinance demonstrate how far Iofina has progressed in recent years, given that the Company has significantly reduced debt, lowered debt interest rates, and secured a strong lending bank partner. With the Company’s balance sheet significantly strengthened by the 7-year term loan in place coupled with the revolving line of credit for future growth, Iofina is focused on operational developments and expanding its production and chemicals product portfolio.”

Alistair Hay, Partner of Cavendish Debt Advisory, said:

“After many months of hard work by all parties, it is great to see the conclusion of this debt refinancing. The transaction was an extremely important project for Iofina and we are delighted to have been able to support them and help them secure this new facility. I know in First Financial they have found the ideal financing and relationship partner for the future.”