Conifex Timber completed a $10 million secured revolving credit facility with Wells Fargo Capital Finance Corporation Canada. Conifex intends to utilize the facility for working capital, capital expenditures and other corporate purposes.
The facility has a three three-year term and is secured by Conifex’s lumber segment inventory, equipment and accounts receivable. The facility will bear interest at CDOR or LIBOR plus a margin of 3.5% and contains an accordion feature to increase the limit of the facility to $15 million, subject to certain conditions.
Conifex and its subsidiaries’ primary business currently includes timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and lumber finishing and distribution.
