BMO, a provider of global investment and corporate banking services, entered into an agreement with Lifecore Biomedical, a contract development and manufacturing organization. This agreement amends and extends the terms of Lifecore’s existing asset-based revolving credit facility, originally established with BMO in December 2020.
The amendment extends the term of the facility by three years to Nov. 2027, as well as simplifying and reducing the interest rates, and providing flexibility for Lifecore as it relates to certain covenants and reporting requirements.
“BMO is a highly regarded global provider of corporate banking services and has been a trusted partner to Lifecore for more than 10 years. The willingness of the BMO team to extend and amend our existing revolving credit facility with advantageous terms demonstrates the bank’s confidence in our current business, as well as our ability to execute on our go-forward growth strategy,” Ryan Lake, chief financial officer of Lifecore, said. “This asset-based lending amendment is the latest positive strategic financial action executed by Lifecore, following our recent successful raising of $24.3 million in a private placement of Lifecore common stock. Together, these activities have significantly improved our balance sheet and overall financial position, providing a strong foundation for future growth.”
