One of the credit facilities is with a Croatian bank, which will supply up to $15.4 million working capital to Kali Tuna based on operational needs.
This facility was signed 21 June, 2011 and the Company has already drawn on the facility to fund a portion of Kali Tuna's operations. Amounts borrowed under the Croatian facility mature in December 2014.
In July 2011, the company, which has fish farming operations supplying sashimi-grade Northern Bluefin Tuna to the global market, borrowed $3 million in additional funds and extended the maturity of $2 million in notes from two private investors. These notes were issued at a discount and on 30 September this year the company will be required to repay $5.6 million.
Finally, the company has completed a working capital facility with Atlantis Group hf (the majority shareholder of the Umami) which will provide working capital loans of up to $15 million that are now available to us to fund its operations.
The working capital facility required a settlement of £4 million of previously existing related party loans. As a result, the company will be able to access $10.7 million, net of expenses, in new capital for its operations as needed.
The loans are due to be repaid no later than 31 March 2012. Each facility and the loans require designated biomass as security.
The $29.1 million in available new capital, combined with the company's current harvesting plan, is expected to meet its operational needs through the harvest.
Additionally, the harvest plan, combined with its expected capital available at the end of the harvest, is expected to supply Umami with the liquidity necessary to maintain its operations into the next growing season.
Umami Obtains Financing
US - Umami Sustainable Seafood has completed credit facilities and closed loans, providing up to $29.1 million additional capital for its seasonal farming operations and for capital expenses to finance the company through its forthcoming harvest starting in September 2011.
