ZUG, Switzerland-WISeKey International Holding Ltd (“WISeKey“) (SIX:WIHN) today announced that it has obtained a $16.4 million secured line of credit facility (the “Credit Facility“) for acquisition financing with maturity up to 18 months from ExWorks Capital, a U.S. private debt fund specializing in international trade and working capital financing.
Draw-down from the Credit Facility is subject to closing conditions, including the grant of options to ExWorks exercisable for up to 1,075,000 registered shares, par value CHF 0.05 (Class B Shares), at an exercise price corresponding to a volume-weighted average price determined by reference to a period commencing after WISeKey’s announcement of its audited FY2016 annual results, and the execution of security agreements over shares of certain of the company’s subsidiaries and certain other assets. The Credit Facility can be up-sized / syndicated at the same terms for up to an additional $10.0 million by way of adding co-lender(s) or selling a participation interest.
Carlos Moreira, Chairman and CEO of WISeKey said: “We believe that this Credit Facility provides us with the flexibility and leverage to finance strategic acquisitions partially with debt, in the short-run.”
Randy Abrahams, Executive Chairman of ExWorks Capital, added, “ExWorks is excited to partner with WISeKey to provide them with an acquisition line of credit that will allow the Company to pursue its growth strategy. The structure and flexibility of our Credit Facility will allow WISeKey to quickly and efficiently make accretive acquisitions, both internationally and in the U.S., that will drive positive shareholder value.”
WISeKey has retained ACXIT Capital Partners and Source Capital as financial advisors for this transaction. Source Capital acted as sole placement agent for this facility.
WISeKey is currently offering IoT manufacturers the possibility of deploying large scale IoT ecosystems using its Cryptographic RoT and NFCTrusted© technology. This trusted technology integrates wearable technology with secure authentication and identification, in both physical and virtual environments, and empowers IoT and wearable devices to become secure transactional devices. WISeKey has patented this process in the USA as it is currently used by many IoT providers. For more information, click here.
The RoT serves as a common trust anchor, which is recognized by the operating system (OS) and applications, to ensure the authenticity, confidentiality and integrity of on-line transactions. With the Cryptographic RoT embedded on the device, the IoT product manufacturers can use code-signing certificates and a cloud-based signature-as-a-service to secure interactions among objects and between objects and people.
WISeKey International Holding Ltd (“WISeKey”, SIX:WIHN) is a leading cybersecurity company currently deploying large scale Internet of Things (“IoT”) digital identity ecosystems. WISeKey’s Swiss based Cryptographic Root of Trust (RoT) integrates wearable technology with secure authentication and identification, in both physical and virtual environments, and empowers IoT and wearable devices to become secure transactional devices. WISeKey has patented this process in the USA as it is currently used by many IoT providers. For more information, visit www.wisekey.com.
About ExWorks Capital (www.exworkscapital.com)
ExWorks Capital, headquartered in the USA, is an international, import and export finance company that offers financing solutions to businesses utilizing its own capital as well as by leveraging its Delegated Authority granted by both the SBA and ExIm Bank.
ExWorks Capital’s offerings include:
Export and Import Trading – ExWorks can provide between $500,000 and $25,000,000 per trade to suppliers that need the funds to be able to purchase goods for sale to international buyers, thereby eliminating the need to raise equity in order to fulfil international sales contracts.
Working Capital Financing – ExWorks can provide International Trade Receivable and Inventory Revolvers, including advancing on Raw Materials, WIP and Finished Goods, between $1,000,000 and $25,000,000.
Term Loan Financing – ExWorks can provide Term Loans between $10,000,000 and $100,000,000 to Foreign Customers.
This communication expressly or implicitly contains certain forward-looking statements concerning WISeKey International Holding Ltd and its business. Such statements involve certain known and unknown risks, uncertainties and other factors, which could cause the actual results, financial condition, performance or achievements of WISeKey International Holding Ltd to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. WISeKey International Holding Ltd is providing this communication as of this date and does not undertake to update any forward-looking statements contained herein as a result of new information, future events or otherwise.
This press release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities, and it does not constitute an offering prospectus within the meaning of article 652a or article 1156 of the Swiss Code of Obligations or a listing prospectus within the meaning of the listing rules of the SIX Swiss Exchange. Investors must rely on their own evaluation of WISeKey and its securities, including the merits and risks involved. Nothing contained herein is, or shall be relied on as, a promise or representation as to the future performance of WISeKey.
Youmna Abisaleh, +41-22-594-3000
Chairman & CEO
Investor Relations (United States)
The Equity Group, Inc.
Lena Cati, 212-836-9611