Ainsworth Game Technology (AGT), the Australian slot machine manufacturer, has obtained a substantial $35 million line of credit from Western Alliance Bancorporation (WAB). This infusion of capital comes at a critical juncture as the gaming sector continues to grapple with ongoing difficulties.
This new five-year accord supersedes AGT’s prior funding agreement with ANZ Bank, effectively eliminating the company’s existing debt and injecting $28 million in new capital. The funds will be administered through AGT’s US-based subsidiary, Ainsworth Game Technology Inc., with parent entities AGT Pty Ltd and Ainsworth Game Technology Limited providing guarantees.
The company plans to disclose additional particulars regarding this financing arrangement concurrently with its unaudited financial results on February 25th.
Earlier in February, AGT announced cash holdings of $24 million AUD and a net debt of $15 million AUD as of December 31, 2020. Despite experiencing a 33% year-over-year revenue contraction, the company realized a 71% revenue surge compared to the preceding six months, reaching $72 million USD for the six months concluding December 31st. AGT anticipates positive EBITDA of $6 million USD for the initial half of the 2021 fiscal year, reflecting an optimistic outlook for its resurgence and expansion.
admin