VANCOUVER, Dec. 2, 2024
/CNW/ - Simply Better Brands Corp. ("SBBC" or the "Company") (TSX
Venture: SBBC) (OTCQB: SBBCF) announces the successful closing of a
new USD $10 million credit facility
with the BMO Corporate Finance Division ("BMO") for its 100% owned
subsidiary TRU Brands Inc. The new credit facility replaces the
previously announced credit facilities earlier this year with a
different Tier 1 Canadian Bank. This new facility is
supported by the Export Development Canada (EDC) Trade Expansion
Lending Program (TELP) guarantee.
The Company intends to use the credit facility to support the
expansion of TRUBARTM sales in the U.S., Canada, and other international markets. The
new larger facility also allows TRUBARTM to leverage
both its accounts receivable and inventory to borrow
against.
Kingsley Ward, SBBC Chairman and
CEO commented, "We are excited to have entered this new partnership
with BMO that will enable us to put additional resources and
investment behind the growth of TRUBARTM in North America and international markets.
This new USD $10 million credit
facility is better structured to support our expected sales growth
into 2025 as it allows us to borrow against both our accounts
receivables (A/R) and inventory, compared to the prior USD
$5 million facility which was limited
to borrowing against our A/R only. With this new credit
facility in place, we can confidently scale our operations, invest
in innovation and meet the increasing demand for our
TRUBARTM product offerings."
BMO commented, "We are proud to partner with Simply Better
Brands. This credit facility reflects our commitment to
supporting high growth businesses. We expect this funding
will enable Simply Better Brands to expand their product sales and
reach new markets."
Under the terms of the credit facility, up to USD $10 million will be made available to Tru Brands
Inc. and its Canadian subsidiary Trubrands Snack Company Inc. in
the form of a margin facility based on TRUBAR's accounts
receivables and inventory. The credit facility interest
rate is based on Canadian prime rate or US base rate plus 3.50% per
annum. The interest rate includes all fees payable to Export
Development Canada (EDC) in respect of the TELP guarantee,
currently 1.75% per annum.
About Simply Better Brands Corp.
Simply Better Brands Corp. is an international omni-channel
platform with a portfolio of diversified assets in the rapidly
growing plant-based, natural, and clean ingredient space. The
Company targets informed, health-conscious Millennial and
Generation Z consumers with a focus on opportunities for expansion
into high-growth consumer product categories. For more
information on Simply Better Brands Corp., please visit: For more
information on Simply Better Brands Corp., please visit:
https://www.simplybetterbrands.com/investor-relations.
About BMO Financial Group
BMO Financial Group is the eighth largest bank in North
America by assets, with total assets of $1.4 trillion as of July
31, 2024. Serving customers for 200 years and counting, BMO is a
diverse team of highly engaged employees providing a broad range of
personal and commercial banking, wealth management, global markets
and investment banking products and services to 13 million
customers across Canada, the United States, and in select
markets globally. Driven by a single purpose, to Boldly Grow the
Good in business and life, BMO is committed to driving
positive change in the world, and making progress for a thriving
economy, sustainable future, and inclusive society.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Cautionary Statement Regarding Forward-Looking
Information
Certain statements contained in this news release constitute
"forward-looking information" and "forward-looking statements"
(collectively, "forward-looking statements") as such terms are
defined under applicable Canadian securities laws and are based on
plans, expectations and estimates of management at the date of this
news release. Forward-looking statements include, without
limitation, the availability of funds under the credit facility,
the approval of the TSX Venture Exchange, the anticipated benefits
of the financings and the growth in distribution for the TRUBAR
plant-based protein bar, anticipated use of proceeds from the
credit facility and Promissory Notes, and statements with respect
to the future business and operations of the Company. The words
"engaged in", "evaluating", "continuing to", "is reviewing",
"potential", "intend", "anticipates", "believes", "aims", "plans",
"expects" or variations of such words and phrases or statements
that certain future conditions, actions, events or results "will",
"may", "could", "would", "should", "might" or "can", or negative
versions thereof, "occur", "continue" or "be achieved", and other
similar expressions, identify forward-looking statements.
Forward-looking statements are necessarily based upon management's
perceptions of historical trends, current conditions and expected
future developments, as well as a number of specific factors and
assumptions that, while considered reasonable by the Company as of
the date of such statements, are outside of the Company's control
and are inherently subject to significant business, economic and
competitive uncertainties and contingencies which could result in
the forward-looking statements ultimately being entirely or
partially incorrect or untrue. Forward-looking statements contained
in this news release are based on various assumptions, including,
but not limited to, the following: the ability of the Company to
achieve its growth and revenue strategies; the demand for the
Company's products; that the Company's financial condition and
development plans do not change as a result of unforeseen events;
the regulatory climate in which the Company operates; and the
Company's ability to execute on its business plans. Known and
unknown risk factors, many of which are beyond the control of the
Company, could cause the actual results of the Company to differ
materially from the results, performance, achievements or
developments expressed or implied by such forward-looking
statements. Such risk factors include but are not limited to:
the impact of foreign exchange rates; pricing pressures; general
adverse economic, market and business conditions and those factors
which are discussed in the Company's management discussion and
analysis for the year ended December 31,
2023, which is available under the Company's SEDAR+ profile
at www.sedarplus.com. The risk factors are not intended to
represent a complete list of the factors that could affect the
Company and the reader is cautioned to consider these and other
factors, uncertainties and potential events carefully and not to
put undue reliance on forward-looking statements. There can be no
assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements.
Forward-looking statements are provided for the purpose of
providing information about management's expectations and plans
relating to the future. The Company disclaims any intention or
obligation to update or revise any forward-looking statements,
except to the extent required by applicable law. All of the
forward-looking statements contained in this news release are given
as of the date hereof and qualified by these cautionary
statements.
SOURCE Simply Better Brands Corp.