EverGen Infrastructure Announces Definitive Agreement for $31 Million Senior Term Loan with Roynat Capital & Export Development Canada
VANCOUVER, British Columbia--(BUSINESS WIRE)--Jan 9, 2023--
EverGen Infrastructure Corp. (“EverGen” or the “Company”) (TSXV: EVGN) (OTCQX: EVGIF), is pleased to announce that it has signed a definitive agreement with its existing lender, Roynat Capital (a subsidiary of The Bank of Nova Scotia) (“Roynat”) and Export Development Canada (“EDC”) for a $31 million syndicated senior term loan (the “Facility”). Roynat and EDC are each providing for 50% of the proceeds from the Facility.
“This milestone provides greater certainty for EverGen moving forward. Executing the debt facility with Roynat and the EDC is an essential piece of our funding strategy as we push forward with our core expansion projects which will deliver 480,000 GJ of RNG annually.” said Chase Edgelow, CEO of EverGen.
The Facility will be used to support the upgrade and construction of EverGen’s Renewable Natural Gas (“RNG”) facilities and provides for $15 million for refinancing of existing debt and construction at Fraser Valley Biogas (“FVB”) and $16 million at Net Zero Waste Abbotsford (“NZWA”). The Company anticipates the first additional draw on the Facility in early-2023 to finance a portion of the FVB RNG Expansion project currently under construction.
The Facility is a five-year senior term loan with a 10-year amortization period and interest only payments for the first 12 months. The Facility is secured by assets of the Company and is subject to the completion of financing terms and conditions as included in the Offer of Finance filed on SEDAR. The Facility bears interest at a rate of the Canadian Variable Rate + 3.0 to 4.0% based on achieving certain EBITDA targets.
“EDC welcomes the opportunity to participate in EverGen’s growth and supports the Company as they expand their renewable energy infrastructure in Canada and abroad” said Anna Pipin, Global Accounts Director at EDC.
“This is a very exciting time for EverGen as they continue the build-out of their RNG infrastructure platform in Canada, and we are excited to be participating in the growth of the industry,” said Derek Strong, Managing Director from Roynat.
About EverGen Infrastructure Corp.
EverGen, Canada’s Renewable Natural Gas Infrastructure Platform, is combating climate change and helping communities contribute to a sustainable future. Headquartered on the West Coast of Canada, EverGen is an established independent renewable energy producer which acquires, develops, builds, owns and operates a portfolio of Renewable Natural Gas, waste to energy, and related infrastructure projects. EverGen is focused on Canada, with continued growth expected across other regions in North America and beyond.
For more information about EverGen Infrastructure Corp. and our projects, please visit www.evergeninfra.com.
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CONTACT: EverGen Investor Contact
KEYWORD: NORTH AMERICA CANADA
INDUSTRY KEYWORD: ALTERNATIVE ENERGY ENERGY OTHER ENERGY UTILITIES
SOURCE: EverGen Infrastructure Corp.
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PUB: 01/09/2023 05:05 PM/DISC: 01/09/2023 05:05 PM