mBank Provides $1.5MM Credit Line to Innovative Composites Intl
Innovative Composites International announced that it closed on its previously announced line of credit financing with mBank of Michigan in the amount of $1.5 million.
The line of credit is secured by a pledge of accounts receivable, inventory and cash. Proceeds from the line will be used to assist the Company in fulfilling its sales orders, and for general working capital purposes.
Draws on the line will be governed by a borrowing based formula tied to accounts receivable and raw materials inventory. Draws on the line extending above $750,000 being permitted only after ICI meets certain performance benchmarks.
The support of the MEDC (Michigan Economic Development Corp) and the MSF (Michigan Strategic Fund) through their Collateral Support Program has been instrumental in supporting this financing.
The company also issued a total of 6,031,421 options to officers, employees and consultants, each option having an exercise price of $0.05 and a term of 7 years.
Toronto-based Innovative Composites International is a high-tech engineering and manufacturing company whose goal is to utilize its proprietary “green” composite materials and building systems to provide innovative, engineered product solutions to markets.