DNA Precious Metals said Thursday that it has received a credit facility of up to $10 million from an unnamed Chicago-based private equity firm. According to DNA, the financing will be used for operating capital and acquisitions. Headquartered in Québec, DNA is an exploration stage mining company.
MONTREAL, February 20, 2014 /PRNewswire/ —
DNA Precious Metals Inc. (“DNA” or “the Company”) (OTCQB: DNAP) today announced the company has secured a Revolving Credit (“Facility”) of up to $10 million with a Chicago based private equity firm to provide operating capital and fund mining acquisitions as well as future production.
The Company intends to use the Facility primarily to fund revenue and profit accretive acquisitions. Additional draws under the Facility are available on an as-needed basis, based on a mutually approved formula of eligible receivables and assets, subject to continuing compliance with the terms of the revolving credit facility. Also, as a condition of the Facility, the Company agreed to register shares of common stock with the Securities and Exchange Commission (SEC) through the filing of a SEC Form S-1 last week. The additional financing will be used by the Company to fund general working capital, acquisitions and project financing, particularly in areas that support the expansion of the Company.
Tony Giuliano Chief Executive Officer of DNA Precious Metals, Inc. said, “Obtaining this credit facility is yet another significant event in our development and growth plans. With another strong funding partner behind us, this clearly demonstrates to customers, partners and targeted acquisitions collectively that we are in a position to execute. This new credit facility puts us in a stronger position to address our capital requirements for the continued growth and expansion of our Quebec mining projects.
Whereas, this facility may not be suitable for all acquisitions, the confidence that such proof of funds provides and our ability to move quickly on transactions should make us more attractive to potential sellers and provide an advantage in competitive negotiations. We look forward to building a strong relationship with our financial partners over the coming months and years.”
About DNA Precious Metals, Inc.
DNA Precious Metals, Inc. is focused on near term production of the Montauban tailings mine in the Province of Quebec, Canada with an aggressive search for economic production assets. The company trades on the OTCQB market in the United States under the stock symbol DNAP. For more information, please go to http://www.DNAPreciousMetals.com.