Exela Technologies, Inc. (NASDAQ:XELA) shares are trading higher after the company announced $51 million of new funding, an amendment that increases existing securitization to $185 million, and other related transactions.
The Details: On Thursday, Exela Technologies reported its subsidiaries had obtained $51 million of new funding from B. Riley Commercial Capital, LLC. This deal includes an additional $4 million available subject to certain financial measurements. In conjunction with this deal, a subsidiary of Exela prepaid $29 million of its existing term loan, reducing the company’s loan balance to ~$15 million.
The company also announced it had purchased $13.4 million of 2023 unsecured notes, following its capital deployment strategy.
Exela also announced an amendment of the company’s existing $150 million PNC securitization facility to permit the addition of $35 million of junior secured financing. The new securitization facility matures in June 2025 and includes the interest of a one-month term SOFR plus 7.5% per year.
Exela plans to use incremental liquidity for general corporate purposes, debt obligations, and transaction expenses.
Exela is a business process automation (BPA) leader, leveraging a global footprint and proprietary technology to provide digital transformation solutions that improve efficiency, quality, and productivity.
According to data from Benzinga Pro, Exela Technologies shares were up 28.0%, trading at $0.06 at the time of publication. The stock has a 52-week high of $1.98 and a 52-week low of $0.04.
