Wells Fargo Capital Finance Amends Mad Catz Facility
Mad Catz Interactive, a provider of interactive entertainment products, said it has extended and amended its secured working capital credit facility with Wells Fargo Capital Finance.
Darren Richardson, president and chief executive officer of Mad Catz, commented, “We value our relationship with Wells Fargo and appreciate their long term support and confidence in Mad Catz. The amended credit facility provides the Company with the working capital and financial flexibility to continue pursuing our strategies for increasing shareholder value.”
At March 31, 2012, Mad Catz reported a net position of credit facility borrowings less cash of $14.2 million, compared to $15.5 million as of December 31, 2011 and $1.7 million at March 31, 2011.
The amendment reduces the interest rate from U.S. prime rate plus 2.00% to U.S. prime rate plus 0.50%, with the potential for further reductions subject to the Company’s performance. The credit limit of $30.0 million remains unchanged.
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