NewGenIvf Enters into a Binding Term Sheet with White Lion Capital for $100 Million Equity Line of Credit, Expandable to $500 Million
NewGenIvf Group (NASDAQ: NIVF) has entered into a binding term sheet with White Lion Capital for a $100 million equity line of credit, which can be expanded to $500 million. The initial agreement allows NewGen to sell up to $100 million in common stock over 36 months, with potential increases to $300 million upon substantial M&A activity, and further to $500 million after $250 million has been drawn. The facility can be extended to 65 months, and its implementation is subject to definitive agreements and registration statement filing. The company views this as a strategic tool for expansion across Asia and potential acquisitions.
NewGenIvf Group (NASDAQ: NIVF) ha firmato un accordo vincolante con White Lion Capital per una linea di credito azionaria di 100 milioni di dollari, che può essere ampliata fino a 500 milioni di dollari. L'accordo iniziale consente a NewGen di vendere fino a 100 milioni di dollari in azioni ordinarie nel corso di 36 mesi, con possibili aumenti fino a 300 milioni in caso di attività M&A sostanziali, e ulteriormente fino a 500 milioni dopo che sono stati prelevati 250 milioni. La linea di credito può essere estesa fino a 65 mesi e la sua attuazione è soggetta a accordi definitivi e deposito di un modulo di registrazione. L'azienda considera questo come uno strumento strategico per l'espansione in Asia e potenziali acquisizioni.
NewGenIvf Group (NASDAQ: NIVF) ha firmado un acuerdo vinculante con White Lion Capital para una línea de crédito de capital de 100 millones de dólares, que puede expandirse a 500 millones. El acuerdo inicial permite a NewGen vender hasta 100 millones de dólares en acciones ordinarias durante 36 meses, con posibles aumentos a 300 millones en caso de actividad M&A sustancial, y aún más a 500 millones después de que se hayan retirado 250 millones. La facilidad puede extenderse a 65 meses, y su implementación está sujeta a acuerdos definitivos y a la presentación de un estado de registro. La empresa considera esto como una herramienta estratégica para la expansión en Asia y para adquisiciones potenciales.
NewGenIvf Group (NASDAQ: NIVF)은 White Lion Capital와 10억 달러 규모의 주식 신용 한도에 대한 구속력 있는 조건 시트에 서명했습니다. 이 시설은 5억 달러로 확대될 수 있습니다. 초기 계약에 따라 NewGen은 36개월 동안 최대 10억 달러의 보통주를 판매할 수 있으며, 실질적인 M&A 활동에 따라 3억 달러까지 증가할 가능성이 있으며, 2억 5천만 달러가 인출된 이후에는 5억 달러까지 증가할 수 있습니다. 이 시설은 최대 65개월까지 연장할 수 있으며, 그 구현은 최종 계약 및 등록 서류 제출에 따라 다릅니다. 회사는 이를 아시아 전역으로의 확장과 잠재적 인수의 전략적 도구로 보고 있습니다.
NewGenIvf Group (NASDAQ: NIVF) a signé une feuille de termes contraignante avec White Lion Capital pour une ligne de crédit en actions de 100 millions de dollars, qui peut être étendue à 500 millions de dollars. L'accord initial permet à NewGen de vendre jusqu'à 100 millions de dollars d'actions ordinaires sur une période de 36 mois, avec des augmentations potentielles à 300 millions en cas d'activités de fusions et acquisitions substantielles, et jusqu'à 500 millions après que 250 millions aient été tirés. Cette facilité peut être prolongée jusqu'à 65 mois, et sa mise en œuvre est soumise à des accords définitifs et au dépôt d'une déclaration d'enregistrement. L'entreprise considère cela comme un outil stratégique pour son expansion en Asie et pour d'éventuelles acquisitions.
NewGenIvf Group (NASDAQ: NIVF) hat einen verbindlichen Rahmenvertrag mit White Lion Capital über eine Eigenkapitallinie von 100 Millionen Dollar unterzeichnet, die auf 500 Millionen Dollar ausgeweitet werden kann. Die erste Vereinbarung ermöglicht es NewGen, innerhalb von 36 Monaten bis zu 100 Millionen Dollar an Stammaktien zu verkaufen, mit möglichen Erhöhungen auf 300 Millionen bei wesentlichen M&A-Aktivitäten und weiter auf 500 Millionen, nachdem 250 Millionen abgerufen wurden. Die Kreditlinie kann auf bis zu 65 Monate erweitert werden, und ihre Implementierung unterliegt endgültigen Vereinbarungen und der Einreichung von Registrierungsanträgen. Das Unternehmen betrachtet dies als strategisches Werkzeug für die Expansion in Asien und potenzielle Übernahmen.
- Secured $100 million equity line of credit with potential expansion to $500 million
- Flexible 36-month term extendable to 65 months
- No obligation to draw capital, providing strategic flexibility
- Additional funding available ($300M) for M&A opportunities
- Potential shareholder dilution from stock issuance
- Agreement subject to definitive agreements and registration statement approval
- Stock sales may pressure share price during drawdown periods
Insights
This equity line of credit arrangement represents a significant financial development for NewGenIvf. The
- The company maintains control over timing and amount of capital draws
- Automatic expansion to
$300 million triggered by M&A activities provides built-in acquisition funding - The 36-month term, extendable to 65 months, offers long-term capital security
The deal structure suggests careful financial planning, allowing NewGenIvf to maintain balance sheet strength while having ready access to growth capital. However, investors should note potential dilution risks depending on future share issuance prices and volumes.
This financing arrangement positions NewGenIvf strategically in the Asian fertility market. The healthcare sector in Asia, particularly fertility services, shows strong growth potential due to demographic trends and increasing disposable income. The flexible capital structure enables NewGenIvf to:
- Execute rapid market expansion across Asian territories
- Capitalize on consolidation opportunities in a fragmented market
- Maintain competitive advantage through strategic acquisitions
White Lion's commitment signals institutional confidence in both the company's business model and the broader fertility treatment market. This backing could catalyze NewGenIvf's transformation into a dominant regional player.
BANGKOK, Nov. 18, 2024 (GLOBE NEWSWIRE) -- NewGenIvf Group Limited (NASDAQ: NIVF) (“NewGen” or the “Company”), today announced that it has entered into a binding term sheet (the “Term Sheet”) with White Lion Capital, LLC, (“White Lion”) a California-based institutional investor focused on high-growth, early-stage public companies, setting out the principal terms and conditions for a
Pursuant to the Term Sheet, NewGen will have the option, but not the obligation, to sell to White Lion up to
Mr. Siu Wing Fung Alfred, Founder, Chairman, and CEO of NewGen commented, “This major agreement marks another significant milestone in NewGen’s growth trajectory. With an initial commitment of
“From a strategic perspective, this financing facility aligns perfectly with our expansion plans across Asia. Importantly, the agreement's built-in scalability, particularly the provision to increase to
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.
About NewGen
NewGen is a comprehensive fertility services provider in Asia helping couples and individuals obtain access to fertility treatments. With a mission to aid couples and individuals in building families regardless of fertility challenges, NewGen has dedicated itself to creating increased access to infertility treatment and providing comprehensive fertility services for its customers. NewGen's management team collectively has over a decade of experience in the fertility industry. NewGen's clinics are located in Thailand, Cambodia, and Kyrgyzstan, and present a full suite of services for its patients, including comprehensive infertility and assisted reproductive technology treatments, egg and sperm donation, and surrogacy, in the appropriate jurisdictions, respectively. To learn more, visit www.newgenivf.com. The information contained on, or accessible through, NewGen's website is not incorporated by reference into this press release, and you should not consider it a part of this press release.
Forward-Looking Statements
This press release contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions. Without limiting the generality of the foregoing, the forward-looking statements in this press release include descriptions of the Company’s future commercial operations, business strategy, financial condition, and planned acquisitions. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, such as the Company’s inability to implement its business plans, identify and realize additional opportunities, meet or exceed its financial projections and changes in the regulatory or competitive environment in which the Company operates, agree on definitive documentation with White Lion Capital for the equity line of credit, or satisfy all of the conditions contained in the definitive documents to utilize the option to sell shares to White Lion. You should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s annual report on Form 20-F and other documents filed or to be filed by the Company with the SEC from time to time, which could cause actual events and results to differ materially from those contained in the forward-looking statements. Copies of these documents are available on the SEC’s website, www.sec.gov. All information provided herein is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.
Investor Relations Contact
ICR, LLC
Robin Yang
Phone: +1 (212) 537-4406
Email: Newgenivf.IR@icrinc.com
FAQ
What is the initial value of NewGenIvf's (NIVF) equity line of credit with White Lion Capital?
How long is the term of NIVF's equity line of credit agreement?
What conditions trigger the expansion of NIVF's credit line to $300 million?
When can NIVF's credit line increase to $500 million?
