XS Financial, a specialty finance company providing capex and equipment financing solutions to cannabis companies in the United States, amended and upsized its current $54 million line of credit with Needham Bank to $70 million.
Loans made under the line of credit will bear interest at an annual rate equal to the Wall Street Journal Prime rate plus one percent (1.0%) when the advance rate applied to eligible borrowing base receivables is < 65% and the Wall Street Journal Prime rate plus one and a half percent (1.5%) when the advance rate applied to eligible borrowing base receivables is between 65% and 75%. The amended credit facility has an extended term, expiring in June 2027, and may be prepaid with no penalty.
“This credit facility provides XS Financial with additional resources to expand our market-leading portfolio of equipment leases,” David Kivitz, CEO of XS Financial, said. “Our ability to close this credit facility with favorable pricing and terms in the current environment exhibits our financial strength and the high-quality customers we support, including several of our industry’s largest companies. We are thrilled to continue funding our existing and target borrowers at scale for their critical expansion projects when other capital sources are slowing.”
