Azure Dynamics Secures $4 Million Credit From Silicon Valley Bank
The Oak Park electric and hybrid truck powertrain developer Azure Dynamics Corp. (TSX: AZD) said Tuesday it had secured a line of credit of up to $4 million over the next two years from Santa Clara, Calif.-based Silicon Valley Bank, a subsidiary of SVB Financial Group (Nasdaq: SIVB).
"As Azure continues to execute against our established strategic business plan, this line of credit provides an additional source of liquidity for our current working capital requirements," said Ryan Carr, CFO at Azure Dynamics. "We appreciate the confidence Silicon Valley Bank demonstrated in our product portfolio and believe that this initial credit facility will serve as a solid foundation to grow from for additional working capital requirements as we achieve expected future growth."
Borrowings against the facility are based on eligible accounts receivable, including certain foreign receivables, inventory and purchase orders, making the facility scalable.
"Azure Dynamics is a first mover in bringing hybrid electric technology to the commercial vehicle market," said Mike Kohnen, senior relationship manager at the bank. "We have a deep appreciation for companies focused on clean technologies and we understand the unique capital requirements and flexible solutions that companies like Azure Dynamics require."
Azure Dynamics' Balance Hybrid Electric van and shuttle has been integrated into major vehicle fleets like Purolator Courier, FedEx Express, and the United States Postal Service. Its newest product, the Ford Transit Connect Electric, is a pure electric version of the award winning Transit Connect. Early customers include AT&T, Xcel Energy and Johnson Controls Inc. Azure and Ford Motor Co. recently announced that the Transit Connect Electric program would be expanded to Europe.
More at www.azuredynamics.com or www.svb.com.
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