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TORONTO – Ontario, July 07, 2022 (GLOBE NEWSWIRE) —
Avante Logixx Inc. (TSX.V: XX) (OTC: ALXXF) (“Avante” or the “Company”) today announced that it has executed definitive agreements in respect of the June 13, 2022 announced $10 million unsecured subordinated term loan facility maturing in 2027 (the “Term Loan”) with Hamblin Watsa Investment Counsel Ltd., in its capacity as investment manager of Fairfax Financial Holdings Limited (“Fairfax”) and certain affiliates thereof.
The Term Loan permits Avante to borrow, on a non-revolving basis, up to $10 million of loans until July 7, 2027 for terms to maturity also ending on July 7, 2027, at an interest rate of 5.0% that can be paid by the Company in cash or in kind. Such debt may be used for working capital, general corporate purposes or as agreed in advance by Fairfax and each drawing shall be in minimum increments of $1 million and may be repaid at any time without penalty. A standby fee of 0.5% is charged by Fairfax on the unused portion of the term loan facility, payable annually in arrears. The unsecured term loans advanced under the Loan Agreement rank junior to the senior secured credit facilities provided by the Company’s senior secured lenders and are guaranteed, on an unsecured basis, by all subsidiaries of the Company. Pursuant to the Loan Agreement, the Company’s consolidated senior indebtedness…
