Pluribus Technologies Corp. Announces New Three-Year, $42 Million Credit Facility

TORONTO, April 27, 2022 /CNW/ - Pluribus Technologies Corp. (TSXV: PLRB) (the "Company") today announced that it has entered into an agreement for a new three-year, $42.0 million credit facility (the "New Facility") with National Bank of Canada. The New Facility replaces Pluribus' existing facilities that were set to mature at various intervals between 2022 to 2024.

"This new facility, in combination with the proceeds from our recent financing and listing on the TSX Venture Exchange, provide us with enhanced flexibility to pursue acquisitions by leveraging a combination of cash, debt and equity," said Richard Adair, CEO of Pluribus Technologies. "Having completed two acquisitions already in 2022, we expect to be able to deliver the same cadence of acquisitions as seen in 2021."

The New Facility provides Pluribus with a $3.0 million Revolving Credit Facility, a $24.0 million Non-Revolving Term Loan and a $15.0 million Delayed Draw Term Loan. The Company intends to use the New Facility to refinance debt under its existing facility, to partially finance the recent acquisitions of Kesson Group Inc. and Kesson Group Holdings Limited, (the "Kesson Group") and Veemo, Inc. ("Social5"), in addition to future acquisitions, as well as for working capital and general corporate purposes. The New Facility is secured by all assets of Pluribus and all existing and future subsidiaries of the Company. It contains customary representations, warranties and covenants, including a covenant to maintain a Total Debt to EBITDA ratio at or below 3.5 times and a Fixed Charge Coverage Ratio of 1.15 or higher at all times. Following an initial draw on the new facility to refinance existing debt and partially finance recent acquisitions, Pluribus expects to have approximately $18 million available under the New Facility The New Facility is modelled on grid based pricing with the interest rate contingent on Pluribus' Total Debt to EBITDA ratio.  Based on Pluribus' current Total Debt to EBITDA ration, initial borrowings are priced at Prime Rate plus 1.00% for Canadian dollar loans and US Base Rate plus 1.00% for US dollar loans.  A copy of the New Facility will be made available under Pluribus' profile on SEDAR at www.sedar.com.  

Pluribus is a technology company that is a value-based acquirer of small, profitable business-to-business technology companies in a range of verticals and industries. Pluribus provides its acquisitions access to experienced sales and marketing resources, strategic partnership opportunities, a diverse portfolio of customers in different geographical markets and enabling technologies to create new revenue streams and provide the opportunity for these companies to grow in their respective markets.

For more information, please visit: https://www.pluribustechnologies.com/.

This press release contains statements that constitute "forward-statements." Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements, or developments to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. There can be no assurance that such statements will prove to be accurate and actual results, and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations including risks detailed from time to time in the filings made by the Company pursuant to applicable Canadian securities laws.

Although the Company believes, in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release include information relating to the business plans of Company and the listing of the Company's shares on the TSXV. Risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information.

By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.

The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press release.

Contact:

Craig Armitage
LodeRock Advisors
[email protected]
416.347.8954

Richard Adair
Chief Executive Officer
Pluribus Technologies Corp.
1 (800) 851-9383

SOURCE Pluribus Technologies Corp.