All amounts in Canadian dollars unless otherwise indicated.
TORONTO, May 15, 2019 /CNW/ - Callidus Capital Corporation
(TSX:CBL) (the "Company" or "Callidus") today announced its
financial and operating results for the first quarter (unaudited)
ended March 31, 2019.
Highlights
- In January 2019, the Company
successfully closed the previously announced sale of the commodity
division of C&C Resources Inc. for all-cash consideration of
approximately $100 million. A
significant portion of the proceeds from the sale were used to pay
down the senior debt and collateralized loan obligation.
- In March 2019, the Company
entered into an agreement with certain Catalyst Limited Partner
Funds ("Catalyst Funds") managed by The Catalyst Capital Group Inc.
("CCGI"), related to the extension and modification of certain
credit facilities. As a result of this agreement, in March 2019, the Company recognized a fair value
adjustment of $41.0 million in the
statement of changes in equity related to the modification of the
subordinated bridge facility. In addition, in March 2019, Company converted $25.5 million of the subordinated bridge facility
into $25.5 million of 9.5%
cumulative, redeemable, non-voting preference shares to maintain a
minimum shareholders' equity of $20
million.
- The leverage ratio decreased from 39.0% at December 31, 2018 to 32.2% at March 31, 2019 due to the reduction of the
subordinated bridge facility, the substantial repayment of the
senior debt and partial repayment of the collateralized loan
obligation.
- Provision for loan losses for the quarter of $1.8 million was recorded in the statements of
income compared to $15.0 million in
the same period last year.
- The Company recorded a net loss of $24.7
million for the quarter compared to a loss of $7.0 million in the same period last year.
- Loss per share for the quarter of $0.43 compared to a loss of $0.13 in the same period last year.
- The Company and The Catalyst Capital Group Inc. have recently
undertaken further discussions with Braslyn Ltd. regarding the
specific terms of a privatization transaction. The Company and
Braslyn Ltd. intend to undertake further discussions regarding
terms and price of such a potential transaction, and accordingly,
there can be no assurance that the terms of a transaction will be
agreed, or if agreed, of the price at which such a transaction
would be undertaken.
For more information, please refer to the Company's unaudited
condensed consolidated interim financial statements and management
discussion and analysis for the period ended March 31, 2019 filed on the System for Electronic
Document Analysis and Retrieval ("SEDAR") at www.sedar.com.
About Callidus Capital Corporation
Established in
2003, Callidus Capital Corporation is a Canadian company
that specializes in innovative and creative financing solutions for
companies that are unable to obtain adequate financing from
conventional lending institutions. Unlike conventional lending
institutions who demand a long list of covenants and make credit
decisions based on cash flow and projections, Callidus credit
facilities have few, if any, covenants and are based on the value
of the borrower's assets, its enterprise value and borrowing needs.
Further information is available on our
website, www.calliduscapital.ca.
SOURCE Callidus Capital Corporation