Financial lender signals confidence in business with new $15 million credit facility to support flexibility and growth
CALGARY, Canada–(BUSINESS WIRE)–$BLN #TSX—Blackline Safety Corp. (TSX: BLN), a global leader in connected safety technology, today announced the closing of its new, previously reported, two-year $15 million senior secured operating facility (plus, accordion feature to increase by $5 million) with ATB Financial. The new credit facility replaces the company’s undrawn senior secured credit facility with another lender that was mutually cancelled in August 2022.
“We look forward to a long relationship with ATB as our new financial lender. The support they are providing with this credit facility provides us with additional capital flexibility that is invaluable in a volatile and uncertain macroeconomic environment,” said Shane Grennan, Chief Financial Officer of Blackline Safety.
“ATB not only has the benefit of being a local leader in the capital markets here in Alberta but also truly understands the value of our hardware-enabled software-as-a-service model. This new line—combined with our strengthened balance sheet, cost reduction efforts, pricing increases for products and services and a robust outlook for growth—position us well for a transition to profitability.”
“Blackline Safety, an Alberta-based global company, has demonstrated a deep understanding of safety technology and an ability to further innovate in this space,” said Darren Eurich, CEO ATB Capital Markets & Senior Vice President, Business, ATB Financial. “ATB is proud to support local businesses like Blackline Safety that are innovating critical technologies used across many industries.”
The new operating facility provides improved financial flexibility to help the company manage its growing customer lease portfolio, as it continues its strong track record of 22 consecutive quarters of year-over-year revenue growth and progresses towards generating free cash flow. The borrowing base under the new facility will be derived from the company’s monthly recurring revenue with pricing that is largely consistent with its prior facility. The new operating facility will be secured, which includes a general security agreement over the property of both Blackline Safety Corp. and its significant subsidiaries.
About Blackline Safety
Blackline Safety is a technology leader driving innovation in the industrial workforce through IoT (Internet of Things). With connected safety devices and predictive analytics, Blackline enables companies to drive towards zero safety incidents and improved operational performance. Blackline provides wearable devices, personal and area gas monitoring, cloud-connected software and data analytics to meet demanding safety challenges and enhance overall productivity for organizations with coverage in more than 100 countries. Armed with cellular and satellite connectivity, Blackline provides a lifeline to tens of thousands of people, having reported over 185 billion data-points and initiated over five million emergency alerts. For more information, visit BlacklineSafety.com and connect with us on Facebook, Twitter, LinkedIn and Instagram.
Christine Gillies, CMO