SYDNEY, Thursday, 1 November 2018:
Cellmid Limited (ASX: CDY) advises that it hasrepaid the remaining $1 million of the $2 million R&D loan facility provided to it byPlatinum Road in February 2017.The R&D loan facility was originally negotiated for two years, and was due to be repaidat the end of February 2019, with a simple interest of 12% per annum payable in arrears.The loan conditions include the right for Cellmid to repay the full amount during thelast 12 months of the loan.In the notes to the Appendix 4C released on 15 October 2018 Cellmid advised that ithad repaid $1 million of the $2 million loan facility following completion of the privateplacement and share purchase plan.
This repayment saved Cellmid $50,000 in interest.By repaying the remaining $1 million of the loan early, Cellmid will save a further $40,000;a total of $90,000 in interest.
With the recent $10.03 million fund raising, $9 million in a private placement, a further$1 million via a share purchase plan, and the R&D tax credit received of $808K, Cellmidhas a strong balance sheet with the ability to manage its cash reserves to maximisethe growth potential of the business and continue on the path of improved financialperformance.
Paid down $2M in debt, now that's a vote of confidence in the projected performance/revenue.
