Xylitol USA, a subsidiary of Xylitol Canada, entered into a two-year combined $2.5 million asset-based credit facility arrangement including an accounts receivable line of $2 million and a $500,000 inventory line with a letter of credit sublimit of $500,000 with Bibby Financial Services.

“Our new relationship with BFS allows us to continue to recapitalize Xylitol’s balance sheet to fund its future growth as it continues to restructure its operations and transform its natural sweetener consumer packaged goods operating platform,” said Steven Haasz, CEO of Xylitol.

Proceeds of the financing will be used for working capital and general corporate purposes.

Xylitol Canada operates two business units that address the xylose and xylitol sweetener markets.