WINNIPEG, Manitoba, March 27, 2019 (GLOBE NEWSWIRE) -- Empire Industries Ltd. (TSX-V: EIL) (“Empire”, “EIL” or the “Company”) announces that it has received a proposal from an arm’s length third party (the “New Financing Provider”) to replace its senior lender and increase its available credit by CAD $19.5 million to an aggregate of CAD $36 million (the “Debt Financing”). Closing of the proposed Debt Financing is subject to customary conditions including completion of due diligence by the New Financing Provider and receipt of regulatory approvals. Empire anticipates closing the Debt Financing on or before April 15, 2019.
Although Empire is current with all required interest and principal payments owing pursuant to the credit facility with the current senior lender, the Company is not in compliance with two of the financial covenants contained in the credit facility. The Company has been evaluating various alternatives, which led to the proposal from the Financing Provider.
About Empire Industries Ltd.
Empire focuses on designing, supplying, and installing iconic media-based attractions and ride systems for the global theme park industry. Empire also uses these same turn-key integration services for special projects such as large optical telescopes and enclosures. Empire also has commenced an initiative to leverage its world class flying theater and attraction development capability on a co-venture ownership basis. Empire’s common shares are listed on the TSX Venture Exchange under the symbol EIL. Empire’s common shares are listed on the TSX Venture Exchange under the symbol EIL.
For more information about the Company, visit www.empind.com or contact:
| Guy Nelson Chief Executive Officer Phone: (416) 366-7977 Email: gnelson@empind.com | Allan Francis Vice President – Corporate Affairs and Administration Phone: (204) 589-9301 Email: afrancis@empind.com |
Reader Advisory
This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Empire’s business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as ‘‘plans’’, “evaluating” ‘‘expects’’ or ‘‘does not expect’’, ‘‘budget’’, ‘‘scheduled’’, ‘‘estimates’’, “forecasts’’, ‘‘intends’’, ‘‘anticipates’’ or variations of such words and phrases or state that certain actions, events or results ‘‘may’’, ‘‘could’’, ‘‘would’’, ‘‘might’’ or ‘‘will be taken’’, ‘‘occur’’ or ‘‘be achieved’’. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although Empire believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Such statements include statements with respect to the anticipated closing of the Debt Financing. Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of Empire. The forward-looking statements contained in this news release represent Empire’s expectations as of the date hereof, and are subject to change after such date. Empire disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.