Better Choice Company Increases Term-Loan Credit Facility Capacity to $7.5 Million at LIBOR Plus 250 Basis Points

Rhea-AI Summary

Better Choice Company Inc. (BTTR) has expanded its term-loan credit facility from $6.0 million to $7.5 million with Wintrust Bank. The unchanged terms include an interest rate of Libor plus 250 basis points and a maturity date of January 6, 2024. CEO Scott Lerner emphasized the importance of this increase for the company's growth strategy, especially with anticipated product launches in 2022. The firm remains focused on delivering high-quality products in the expanding animal health and wellness sector.

Positive

• Increased term-loan credit facility capacity from $6.0 million to $7.5 million.
• Maintained low cost of capital at Libor plus 250 basis points.
• Reaffirmation of the company's growth potential and support from lenders.
• Planned product launches expected to drive revenue and profitability.

Negative

• None.

Expanded Facility Capacity Provides Additional Growth Working Capital Availability at Low Cost of Capital

NEW YORK, Aug. 18, 2021 (GLOBE NEWSWIRE) -- Better Choice Company Inc. (NYSE: BTTR) (the “Company” or “Better Choice”), an animal health and wellness company, today announced it has increased its term-loan credit facility capacity from $6.0m to $7.5m with its current lender, Wintrust, a leading commercial bank headquartered in Chicago, Illinois. The terms of the agreement remain unchanged, carrying an interest rate of Libor plus 250 basis points and scheduled to mature on January 6, 2024.

Scott Lerner, Chief Executive Officer of Better Choice, commented, "We appreciate the continued support provided by Wintrust, along with their confidence in our future performance, further reaffirming the intrinsic long-term value of the company. As a growth company, the expanded working capital availability to our term-loan at a low cost of capital, will well-position us to achieve our next phase of growth from our anticipated product launches in 2022 and beyond.”

“We are squarely focused on achieving the performance targets indicated in our five-year strategic plan, as robust growth across the animal health and wellness industry continues. Our team is focused on delivering in-demand high-quality products to accelerate sales growth, ultimately trending towards increased cash flow and profitability," concluded Mr. Lerner.

About Better Choice Company Inc.

Better Choice Company Inc. is a rapidly growing animal health and wellness company committed to leading the industry shift toward pet products and services that help dogs and cats live healthier, happier and longer lives. We take an alternative, nutrition-based approach to animal health relative to conventional dog and cat food offerings and position our portfolio of brands to benefit from the mainstream trends of growing pet humanization and consumer focus on health and wellness. We have a demonstrated, multi-decade track record of success selling trusted animal health and wellness products and leverage our established digital footprint to provide pet parents with the knowledge to make informed decisions about their pet’s health. We sell the majority of our dog food, cat food and treats under the Halo and TruDog brands, which are focused, respectively, on providing sustainably sourced kibble and canned food derived from real whole meat, and minimally processed raw-diet dog food and treats. For more information, please visit https://www.betterchoicecompany.com.  

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. The Company has based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the Company’s risk factors is contained in our filings with the SEC. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

Company Contact:

Better Choice Company, Inc.
Scott Lerner, CEO

Investor Contact:

KCSA Strategic Communications
Valter Pinto, Managing Director
T: 212-896-1254
Valter@KCSA.com

FAQ

What is the latest update on Better Choice Company Inc. (BTTR) credit facility?

Better Choice Company has increased its term-loan credit facility from $6.0 million to $7.5 million.

What are the terms of BTTR's expanded credit facility?

The terms remain unchanged, including an interest rate of Libor plus 250 basis points and a maturity date of January 6, 2024.

How will the increased loan capacity affect Better Choice Company (BTTR)?

The increased loan capacity will provide Better Choice with additional working capital to support its growth and anticipated product launches.

Who is the lender for Better Choice Company's credit facility?

The lender for Better Choice Company's credit facility is Wintrust Bank.

What is Better Choice Company's focus for future growth?

Better Choice Company is focused on delivering high-quality products in the animal health and wellness industry.