(TheNewswire)
Abbotsford, BC – TheNewswire - June 6 , 2022 – GatekeeperSystems Inc. (‘Gatekeeper’ or the ‘Company’) (TSXV:GSI)(OTC:GKPRF) (FSE:1GK) a leading provider ofintelligent video solutions for public transport and smart cities, ispleased to announce the Company has entered credit facilities foradditional working capital to facilitate recently announced majorcontracts and continued growth.
The Company has entered a revolving credit facility(“Credit Facility”) with Toronto Dominion Bank pursuant to whichthe Company may draw up to CAD $6 million for working capitalprovisions. Interest on the Credit Facility is based on either theCanadian bank prime rate plus 0.85 percent or US bank base rate plus0.75 percent. The Credit Facility is subject toset up fees as well as export guarantee program fees payable quarterlyto Export Development Canada.
The Company has also entered a letter of creditfacility (“Letter of Credit Facility”) with Toronto Dominion Bankpursuant to which Toronto Dominion Bank will issue letters of credit,including supplier payment guarantees, up to CAD $2 million to certainCompany suppliers. The Letter of Credit Facility fee is 0.65 percentof the amounts issued under the Letter of Credit Facility.
For the fiscal six-month period ending February 28,2022, the Company reported six-month revenues of $5.8 million andworking capital of $8.8 million. Since February 28, 2022, the Companyhas announced over $7 million in new contract awards in addition tothe Company’s regularly occurring business. The Company alsorecently announced a perpetual contract framework for sales toNational Express LLC, which operates over 20,000 school buses.
Doug Dyment, President and CEO commented, “We aredelighted that TD Bank, after completing their careful due diligenceand reviewing our growth prospects, has equipped Gatekeeper with $8million in aggregate working capital facilities on very favorableterms. This working capital financing is a cornerstone in ourfoundation for growth and we are solidly executing our growthagenda.”
The Credit Facility and Letter of Credit Facility issecured by a General Security Agreement (GSA) for Gatekeeper SystemsInc., representing a first charge on the Company’s present and afteracquired personal property, and a Uniform Commercial Code SecurityAgreement (“UCC”) for Gatekeeper Systems USA Inc., among othercustomary guarantees, and is repayable upon demand.
About Gatekeeper Systems Inc.
Gatekeeper is a leading provider of intelligent videoand data solutions designed to provide a safer transportationenvironment for children, passengers, and public safety personnel onmultiple transportation modes. The Company uses AI, video analytics,thermal cameras, and mobile data collectors to inter-connect publictransit assets as part of intelligent transportation systems in aSmart City ecosystem. The Company’s Platform-as-a-Service (PaaS)business model is an enabling transformation to a video and datasolutions provider for intelligent transit and Smart Cities. www.gatekeeper-systems.com
Contact Information:
Douglas Dyment
ddyment@gatekeeper-systems.com
Cautionary Note Regarding Forward-Looking Statements:Certain statements made in this press release that are not historicalfacts are forward-looking statements and are subject to importantrisks, uncertainties and assumptions, both general and specific, whichgive rise to the possibility that actual results or events coulddiffer materially from our expectations expressed in or implied bysuch forward-looking statements. As a result, we cannot guarantee thatany forward-looking statement will materialize, and readers arecautioned not to place undue reliance on these forward-lookingstatements. For more exhaustive information on these risks anduncertainties, the reader should refer to the risk factors describedin the management's discussion and analysis for the quarter endedFebruary 28, 2022. The forward-looking statements contained in thispress release represent our expectations as of the date hereof. Wedisclaim any intention and assume no obligation to update or reviseany forward-looking statements. Forward-looking statements arepresented for the purpose of providing information about management'scurrent expectations and plans and allowing investors and others toobtain a better understanding of our anticipated operatingenvironment. Readers are cautioned that such information may not beappropriate for other purposes. The Company undertakes no obligationsto update or revise such statements to reflect new circumstances orunanticipated events as they occur, unless required by applicable law.
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release.
Copyright (c) 2022 TheNewswire - All rights reserved.