CEMATRIX Canada entered into a new financing agreement with Canadian Western Bank for a $2 million demand operating loan. The loan will bear interest at an amount equal to the greater of 4.70% or 2% above the bank’s prime lending rate, and will be secured by a general security agreement providing a first secured interest in the receivables and inventory of Cematrix Canada and guaranteed by the corporation with the corporation granting a general security agreement providing a first secured interest in all present and after acquired property of the corporation.

The operating loan will be used to repay a mezzanine loan through Tallinn Capital Mezzanine Limited Partnership with a rate of 16.5% and to finance day-to-day operations of Cematrix Canada.

“The completion of this financing will significantly reduce Cematrix Canada’s interest expense and will provide the working capital funding necessary to support the expected continued sales growth in 2016. We look forward to working with the Canadian Western Bank to continue to grow our organization. We also thank Tallinn for providing their financial support,” said Jeff Kendrick, CEMATRIX president and CEO.

Alberta-based CEMATRIX is a manufacturer and supplier of technologically advanced cellular concrete products with applications in a variety of markets.