Bright Green Secures $60 Million Credit Line from JVR Holdings

Bright Green, a NASDAQ-listed company, has obtained a $60 million credit line from JVR Holdings, providing significant funding for its operations and strategic initiatives.

Bright Green Secures $60 Million Credit Line from JVR Holdings

Bright Green, a company listed on the NASDAQ stock exchange, has secured a credit line worth $60 million from JVR Holdings. This credit line will provide significant funding for Bright Green’s operations and strategic initiatives.

Bright Green Secures $60 Million Credit Line from JVR Holdings - 1503844686

( Credit to: Investing )

Under the agreement, Bright Green can make up to 12 drawdowns from the credit facility before its maturity date on May 1, 2034. Each drawdown must be a minimum of $5 million.

To secure the credit line, Bright Green is required to pay a non-refundable processing fee of $1.2 million, which will be deducted from the initial advance. Additionally, an application fee of $75,000 or 350,000 shares of Bright Green’s common stock must be provided to JVR Holdings upon execution of the credit agreement.

Flexible Repayment Options and Interest Rates

Bright Green has the option to extend the maturity date of the credit facility, subject to approval from JVR Holdings. The borrowed principal will accrue interest at a fixed annual rate of 14.0%.

After the initial disbursement, Bright Green also has the option to convert the outstanding amounts into variable rate loans. These loans would be subject to an interest rate based on the prime rate reported by Bank of America plus a 10% annual premium.

Repayment Terms and Default Consequences

Repayment of the credit facility begins with interest-only payments in the first month following any disbursement. Subsequently, Bright Green is required to follow an amortization schedule that includes both principal and interest payments. The entire outstanding principal and any accrued interest must be fully repaid by the maturity date.

In the event of a default, as defined in the credit agreement, JVR Holdings has the right to demand immediate payment of all outstanding principal and interest. JVR Holdings can also appoint a receiver, take possession of or dispose of collateral, and use any proceeds from collateral to cover expenses.

Collateral and Security

The credit line is secured by a mortgage on Bright Green’s principal executive office located at 1033 George Hanosh Blvd, Grants, NM, with a registered amount of $100 million. This provides a strong level of security for JVR Holdings.

Summary

Bright Green’s $60 million credit line from JVR Holdings is a significant boost to its financial position. The agreement allows for flexibility in repayment terms and offers the option to convert to variable rate loans. However, it is crucial for Bright Green to adhere to the repayment schedule to avoid default and the potential consequences outlined in the agreement.

The mortgage on Bright Green’s principal executive office provides additional security for JVR Holdings. Overall, this credit line provides Bright Green with the funding needed to support its operations and strategic initiatives.

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