News

6 October 2008

 

Emcore secures $25m credit facility

Emcore Corp of Albuquerque, NM, USA, which manufactures components and subsystems for the broadband, fiber-optic, and solar power markets, has closed a $25m revolving credit facility with Bank of America. The asset-backed credit facility provides for borrowings up to $25m and can be used for working capital, letters of credit and other general corporate purposes.

The credit facility, which incorporates both LIBOR and Prime-based borrowing alternatives, is subject to certain financial covenants and a borrowing base formula. The agreement matures in September 2011 and is secured by certain assets of the company.

“Given the current state of the credit markets, we are very pleased to enter into this agreement with Bank of America and appreciate the bank's confidence in our future,” says chief financial officer John M. Markovich. “This facility will serve to further strengthen our financial flexibility as we continue to pursue the company's growth strategy.”

See related item:

Emcore grows 70% year-on-year

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